diff --git a/beacon-chain/core/altair/attestation.go b/beacon-chain/core/altair/attestation.go
index ae339e583..a0c566896 100644
--- a/beacon-chain/core/altair/attestation.go
+++ b/beacon-chain/core/altair/attestation.go
@@ -234,7 +234,7 @@ func RewardProposer(ctx context.Context, beaconState state.BeaconState, proposer
 		return err
 	}
 
-	return helpers.IncreaseBalance(beaconState, i, proposerReward)
+	return helpers.IncreaseBalance(beaconState, i, proposerReward, cfg.IsPulseChain())
 }
 
 // AttestationParticipationFlagIndices retrieves a map of attestation scoring based on Altair's participation flag indices.
diff --git a/beacon-chain/core/altair/block.go b/beacon-chain/core/altair/block.go
index 8fae32f51..ce5fe0525 100644
--- a/beacon-chain/core/altair/block.go
+++ b/beacon-chain/core/altair/block.go
@@ -66,6 +66,7 @@ func processSyncAggregate(ctx context.Context, s state.BeaconState, sync *ethpb.
 	[]bls.PublicKey,
 	uint64,
 	error) {
+	cfg := params.BeaconConfig()
 	currentSyncCommittee, err := s.CurrentSyncCommittee()
 	if err != nil {
 		return nil, nil, 0, err
@@ -106,7 +107,7 @@ func processSyncAggregate(ctx context.Context, s state.BeaconState, sync *ethpb.
 				return nil, nil, 0, err
 			}
 			votedKeys = append(votedKeys, pubKey)
-			if err := helpers.IncreaseBalance(s, vIdx, participantReward); err != nil {
+			if err := helpers.IncreaseBalance(s, vIdx, participantReward, cfg.IsPulseChain()); err != nil {
 				return nil, nil, 0, err
 			}
 			earnedProposerReward += proposerReward
@@ -116,7 +117,7 @@ func processSyncAggregate(ctx context.Context, s state.BeaconState, sync *ethpb.
 			}
 		}
 	}
-	if err := helpers.IncreaseBalance(s, proposerIndex, earnedProposerReward); err != nil {
+	if err := helpers.IncreaseBalance(s, proposerIndex, earnedProposerReward, cfg.IsPulseChain()); err != nil {
 		return nil, nil, 0, err
 	}
 	return s, votedKeys, earnedProposerReward, err
diff --git a/beacon-chain/core/altair/epoch_precompute.go b/beacon-chain/core/altair/epoch_precompute.go
index 6f8cb3d9f..f41cbcbf8 100644
--- a/beacon-chain/core/altair/epoch_precompute.go
+++ b/beacon-chain/core/altair/epoch_precompute.go
@@ -244,7 +244,7 @@ func ProcessRewardsAndPenaltiesPrecompute(
 		// Compute the post balance of the validator after accounting for the
 		// attester and proposer rewards and penalties.
 		delta := attDeltas[i]
-		balances[i], err = helpers.IncreaseBalanceWithVal(balances[i], delta.HeadReward+delta.SourceReward+delta.TargetReward)
+		balances[i], err = helpers.IncreaseBalanceWithVal(balances[i], delta.HeadReward+delta.SourceReward+delta.TargetReward, cfg.IsPulseChain())
 		if err != nil {
 			return nil, err
 		}
diff --git a/beacon-chain/core/blocks/deposit.go b/beacon-chain/core/blocks/deposit.go
index 845811595..e14f03762 100644
--- a/beacon-chain/core/blocks/deposit.go
+++ b/beacon-chain/core/blocks/deposit.go
@@ -202,7 +202,8 @@ func ProcessDeposit(beaconState state.BeaconState, deposit *ethpb.Deposit, verif
 		if err := beaconState.AppendBalance(amount); err != nil {
 			return nil, newValidator, err
 		}
-	} else if err := helpers.IncreaseBalance(beaconState, index, amount); err != nil {
+		// Do not apply burn to deposits.
+	} else if err := helpers.IncreaseBalance(beaconState, index, amount, false); err != nil {
 		return nil, newValidator, err
 	}
 
diff --git a/beacon-chain/core/epoch/precompute/reward_penalty.go b/beacon-chain/core/epoch/precompute/reward_penalty.go
index 654710a60..075201529 100644
--- a/beacon-chain/core/epoch/precompute/reward_penalty.go
+++ b/beacon-chain/core/epoch/precompute/reward_penalty.go
@@ -23,6 +23,7 @@ func ProcessRewardsAndPenaltiesPrecompute(
 	attRewardsFunc attesterRewardsFunc,
 	proRewardsFunc proposerRewardsFunc,
 ) (state.BeaconState, error) {
+	cfg := params.BeaconConfig()
 	// Can't process rewards and penalties in genesis epoch.
 	if time.CurrentEpoch(state) == 0 {
 		return state, nil
@@ -48,7 +49,7 @@ func ProcessRewardsAndPenaltiesPrecompute(
 
 		// Compute the post balance of the validator after accounting for the
 		// attester and proposer rewards and penalties.
-		validatorBals[i], err = helpers.IncreaseBalanceWithVal(validatorBals[i], attsRewards[i]+proposerRewards[i])
+		validatorBals[i], err = helpers.IncreaseBalanceWithVal(validatorBals[i], attsRewards[i]+proposerRewards[i], cfg.IsPulseChain())
 		if err != nil {
 			return nil, err
 		}
diff --git a/beacon-chain/core/helpers/BUILD.bazel b/beacon-chain/core/helpers/BUILD.bazel
index 78b3e8bb4..000ab7971 100644
--- a/beacon-chain/core/helpers/BUILD.bazel
+++ b/beacon-chain/core/helpers/BUILD.bazel
@@ -19,6 +19,7 @@ go_library(
     visibility = ["//visibility:public"],
     deps = [
         "//beacon-chain/cache:go_default_library",
+        "//beacon-chain/core/pulse:go_default_library",
         "//beacon-chain/core/time:go_default_library",
         "//beacon-chain/forkchoice/types:go_default_library",
         "//beacon-chain/state:go_default_library",
diff --git a/beacon-chain/core/helpers/rewards_penalties.go b/beacon-chain/core/helpers/rewards_penalties.go
index 28e06d3c8..78752e984 100644
--- a/beacon-chain/core/helpers/rewards_penalties.go
+++ b/beacon-chain/core/helpers/rewards_penalties.go
@@ -6,6 +6,7 @@ import (
 	"math/big"
 
 	"github.com/prysmaticlabs/prysm/v5/beacon-chain/cache"
+	"github.com/prysmaticlabs/prysm/v5/beacon-chain/core/pulse"
 	"github.com/prysmaticlabs/prysm/v5/beacon-chain/state"
 	"github.com/prysmaticlabs/prysm/v5/config/params"
 	"github.com/prysmaticlabs/prysm/v5/consensus-types/primitives"
@@ -99,6 +100,8 @@ func TotalActiveBalance(s state.ReadOnlyBeaconState) (*big.Int, error) {
 
 // IncreaseBalance increases validator with the given 'index' balance by 'delta' in Gwei.
 //
+// Optional `applyBurn` applies the PulseChain burn to the delta.
+//
 // Spec pseudocode definition:
 //
 //	def increase_balance(state: BeaconState, index: ValidatorIndex, delta: Gwei) -> None:
@@ -106,12 +109,12 @@ func TotalActiveBalance(s state.ReadOnlyBeaconState) (*big.Int, error) {
 //	  Increase the validator balance at index ``index`` by ``delta``.
 //	  """
 //	  state.balances[index] += delta
-func IncreaseBalance(state state.BeaconState, idx primitives.ValidatorIndex, delta uint64) error {
+func IncreaseBalance(state state.BeaconState, idx primitives.ValidatorIndex, delta uint64, applyBurn bool) error {
 	balAtIdx, err := state.BalanceAtIndex(idx)
 	if err != nil {
 		return err
 	}
-	newBal, err := IncreaseBalanceWithVal(balAtIdx, delta)
+	newBal, err := IncreaseBalanceWithVal(balAtIdx, delta, applyBurn)
 	if err != nil {
 		return err
 	}
@@ -122,6 +125,8 @@ func IncreaseBalance(state state.BeaconState, idx primitives.ValidatorIndex, del
 // This method is flattened version of the spec method, taking in the raw balance and returning
 // the post balance.
 //
+// Optional `applyBurn` applies the PulseChain burn to the delta.
+//
 // Spec pseudocode definition:
 //
 //	def increase_balance(state: BeaconState, index: ValidatorIndex, delta: Gwei) -> None:
@@ -129,7 +134,10 @@ func IncreaseBalance(state state.BeaconState, idx primitives.ValidatorIndex, del
 //	  Increase the validator balance at index ``index`` by ``delta``.
 //	  """
 //	  state.balances[index] += delta
-func IncreaseBalanceWithVal(currBalance, delta uint64) (uint64, error) {
+func IncreaseBalanceWithVal(currBalance, delta uint64, applyBurn bool) (uint64, error) {
+	if applyBurn {
+		delta = pulse.ApplyBurn(delta)
+	}
 	res, err := mathutil.Add64(currBalance, delta)
 	if err != nil {
 		logrus.Warn("validator balance overflow detected")
diff --git a/beacon-chain/core/helpers/rewards_penalties_test.go b/beacon-chain/core/helpers/rewards_penalties_test.go
index 32192297b..fb076b6bb 100644
--- a/beacon-chain/core/helpers/rewards_penalties_test.go
+++ b/beacon-chain/core/helpers/rewards_penalties_test.go
@@ -149,7 +149,30 @@ func TestIncreaseBalance_OK(t *testing.T) {
 			Balances: test.b,
 		})
 		require.NoError(t, err)
-		require.NoError(t, IncreaseBalance(state, test.i, test.nb))
+		require.NoError(t, IncreaseBalance(state, test.i, test.nb, false))
+		assert.Equal(t, test.eb, state.Balances()[test.i], "Incorrect Validator balance")
+	}
+}
+
+func TestIncreaseBalanceWithBurn_OK(t *testing.T) {
+	tests := []struct {
+		i  primitives.ValidatorIndex
+		b  []uint64
+		nb uint64
+		eb uint64
+	}{
+		{i: 0, b: []uint64{27 * 1e9, 28 * 1e9, 32 * 1e9}, nb: 100, eb: 27*1e9 + 75},
+		{i: 1, b: []uint64{27 * 1e9, 28 * 1e9, 32 * 1e9}, nb: 0, eb: 28 * 1e9},
+		{i: 2, b: []uint64{27 * 1e9, 28 * 1e9, 32 * 1e9}, nb: 33 * 1e9, eb: 32*1e9 + (33 * 1e9 * 3 / 4)},
+	}
+	for _, test := range tests {
+		state, err := state_native.InitializeFromProtoPhase0(&ethpb.BeaconState{
+			Validators: []*ethpb.Validator{
+				{EffectiveBalance: 4}, {EffectiveBalance: 4}, {EffectiveBalance: 4}},
+			Balances: test.b,
+		})
+		require.NoError(t, err)
+		require.NoError(t, IncreaseBalance(state, test.i, test.nb, true))
 		assert.Equal(t, test.eb, state.Balances()[test.i], "Incorrect Validator balance")
 	}
 }
@@ -293,7 +316,7 @@ func TestIncreaseBalance_OverflowCapped(t *testing.T) {
 			Balances: test.b,
 		})
 		require.NoError(t, err)
-		require.NoError(t, IncreaseBalance(state, test.i, test.nb))
+		require.NoError(t, IncreaseBalance(state, test.i, test.nb, false))
 		for _, bal := range state.Balances() {
 			require.Equal(t, bal, uint64(math.MaxUint64))
 		}
diff --git a/beacon-chain/core/pulse/BUILD.bazel b/beacon-chain/core/pulse/BUILD.bazel
new file mode 100644
index 000000000..57dd26422
--- /dev/null
+++ b/beacon-chain/core/pulse/BUILD.bazel
@@ -0,0 +1,22 @@
+load("@prysm//tools/go:def.bzl", "go_library", "go_test")
+
+go_library(
+    name = "go_default_library",
+    srcs = ["reward_burn.go"],
+    importpath = "github.com/prysmaticlabs/prysm/v5/beacon-chain/core/pulse",
+    visibility = ["//visibility:public"],
+    deps = [
+        "//config/params:go_default_library",
+        "@com_github_sirupsen_logrus//:go_default_library",
+    ],
+)
+
+go_test(
+    name = "go_default_test",
+    srcs = ["reward_burn_test.go"],
+    embed = [":go_default_library"],
+    deps = [
+        "//testing/require:go_default_library",
+    ],
+    size = "small"
+)
diff --git a/beacon-chain/core/pulse/reward_burn.go b/beacon-chain/core/pulse/reward_burn.go
new file mode 100644
index 000000000..913d646a0
--- /dev/null
+++ b/beacon-chain/core/pulse/reward_burn.go
@@ -0,0 +1,24 @@
+// Package pulse implements the PulseChain fork
+package pulse
+
+import (
+	"github.com/prysmaticlabs/prysm/v5/config/params"
+	"github.com/sirupsen/logrus"
+)
+
+// Applies the PulseChain burn to a pending validator reward.
+func ApplyBurn(baseReward uint64) uint64 {
+	secondsPerSlot := params.BeaconConfig().SecondsPerSlot
+
+	// First we compensate for the increased block frequency.
+	afterBurn := baseReward * secondsPerSlot / 12
+
+	// Then we burn an additional 25%.
+	afterBurn = afterBurn * 3 / 4
+
+	logrus.WithFields(logrus.Fields{
+		"baseReward": baseReward,
+		"afterBurn":  afterBurn,
+	}).Debug("Applied PulseChain Burn 🔥")
+	return afterBurn
+}
diff --git a/beacon-chain/core/pulse/reward_burn_test.go b/beacon-chain/core/pulse/reward_burn_test.go
new file mode 100644
index 000000000..736fe3af7
--- /dev/null
+++ b/beacon-chain/core/pulse/reward_burn_test.go
@@ -0,0 +1,28 @@
+package pulse
+
+import (
+	"testing"
+
+	"github.com/prysmaticlabs/prysm/v5/config/params"
+	"github.com/prysmaticlabs/prysm/v5/testing/require"
+)
+
+func TestApplyBurn(t *testing.T) {
+	t.Run("Test burn with various slot times", func(t *testing.T) {
+		beforeBurn := uint64(1000000)
+
+		// Default 12 second slots => 25% general burn.
+		afterBurn := ApplyBurn(beforeBurn)
+		require.Equal(t, uint64(750000), afterBurn)
+
+		// 6 second slots => 50% burn then 25% general burn.
+		params.BeaconConfig().SecondsPerSlot = 6
+		afterBurn = ApplyBurn(beforeBurn)
+		require.Equal(t, uint64(375000), afterBurn)
+
+		// 3 second slots => 75% burn then 25% general burn.
+		params.BeaconConfig().SecondsPerSlot = 3
+		afterBurn = ApplyBurn(beforeBurn)
+		require.Equal(t, uint64(187500), afterBurn)
+	})
+}
diff --git a/beacon-chain/core/validators/validator.go b/beacon-chain/core/validators/validator.go
index e35a68423..0adff069b 100644
--- a/beacon-chain/core/validators/validator.go
+++ b/beacon-chain/core/validators/validator.go
@@ -172,11 +172,12 @@ func SlashValidator(
 	whistleBlowerIdx := proposerIdx
 	whistleblowerReward := validator.EffectiveBalance / params.BeaconConfig().WhistleBlowerRewardQuotient
 	proposerReward := whistleblowerReward / proposerRewardQuotient
-	err = helpers.IncreaseBalance(s, proposerIdx, proposerReward)
+	// Do not apply burn to slashing rewards.
+	err = helpers.IncreaseBalance(s, proposerIdx, proposerReward, false)
 	if err != nil {
 		return nil, err
 	}
-	err = helpers.IncreaseBalance(s, whistleBlowerIdx, whistleblowerReward-proposerReward)
+	err = helpers.IncreaseBalance(s, whistleBlowerIdx, whistleblowerReward-proposerReward, false)
 	if err != nil {
 		return nil, err
 	}
diff --git a/config/params/config.go b/config/params/config.go
index 7a140be77..c8d457901 100644
--- a/config/params/config.go
+++ b/config/params/config.go
@@ -318,6 +318,11 @@ func (b *BeaconChainConfig) MaximumGossipClockDisparityDuration() time.Duration
 	return time.Duration(b.MaximumGossipClockDisparity) * time.Millisecond
 }
 
+// IsPulseChain returns true if the current chain config is running the pulsechain preset.
+func (b *BeaconChainConfig) IsPulseChain() bool {
+	return b.PresetBase == "pulsechain"
+}
+
 // DenebEnabled centralizes the check to determine if code paths
 // that are specific to deneb should be allowed to execute. This will make it easier to find call sites that do this
 // kind of check and remove them post-deneb.
diff --git a/config/params/testnet_pulsechain_config.go b/config/params/testnet_pulsechain_config.go
index 4d7485093..374138c95 100644
--- a/config/params/testnet_pulsechain_config.go
+++ b/config/params/testnet_pulsechain_config.go
@@ -14,6 +14,7 @@ func UsePulseChainTestnetNetworkConfig() {
 func PulseChainTestnetConfig() *BeaconChainConfig {
 	cfg := MainnetConfig().Copy()
 	cfg.ConfigName = PulseChainTestnetName
+	cfg.PresetBase = "pulsechain"
 	cfg.TerminalTotalDifficulty = "58750003716598352947541"
 	cfg.MinGenesisActiveValidatorCount = 5000
 	cfg.MinGenesisTime = 1674864000