Berachain will end its dual-token incentive structure as the first phase of its PoL Next upgrade and shift to a WBERA-based rewards system. Cointelegraph reported on July 8 local time that Berachain plans to stop issuing the Bera governance token, BGT, through a hard fork scheduled for 1600 UTC on July 9.

After the upgrade, the network will distribute fixed-supply WBERA as block rewards instead of BGT. Previously, the transferable BERA and the non-transferable governance token BGT coexisted, but the structure will shift to one centered on the main token BERA.

The transition will proceed in 2 stages. WBERA issuance began on July 8, and the July 9 hard fork will halt BGT issuance. After the hard fork, reward vaults linked to BGT and liquidity staking incentives will also be phased out over several days.

Berachain said the annual percentage rate could rise by as much as 3 times after the upgrade. It added that yields could fluctuate in the first few days. The Berachain Foundation said it is changing the existing BGT-based rewards system to a structure centered on sWBERA, a staking version of WBERA, and described it as a simpler and more sustainable approach.