EigenLayer delivers its restaking protocol on Ethereum

EigenLayer, a decentralized finance (DeFi) platform, officially announced that it has effectively delivered its staking protocol on the Ethereum mainnet. Indeed, this is a watershed moment for the Seattle-based company. The team members of EigenLayer are responsible for building the restaking protocol. The situation will now provide the opportunity for users who are involved in the staking of ETH to be in the position of restaking their individual tokens on the EigenLayer platform. Liquid staking tokens, such as Lido stETH, Rocket Pool ETH, and Coinbase Wrapped Staked ETH, make this possible for users to accomplish.

EigenLayer has managed to make its mark where the DeFi arena is concerned and has successfully acquired the amount of $64.5 million through funding. The total present value has reached $500 million, which speaks for itself about the standing of the company. Liquid restaking as well as conventional restaking can be carried out on the EigenLayer’s restaking protocol. In the case of liquid restaking, there is a set limit of 3,200 tokens for every liquid staking token, with a deposit amount of 32 tokens for every address. Where conventional staking is concerned, it will raise a red flag the minute the addition is made for 9,600 ETH.

Since Ethereum shifted from a proof-of-work to a proof-of-stake consensus system, liquid staking has grown in significance. At the present moment in time, there is an amount of $16.92 billion that is staked where the leading five liquid staking protocols on the Ethereum network are concerned. EigenLayer’s focus is to offer ETH stakers further benefits wherein they will be able to optimize returns.

The deliverance of the restaking protocol actually speaks volumes about the possibilities of innovation in the arena of DeFi, along with the growing requirement of solutions pertaining to the malleability of staking related works. With the inclination growing towards decentralized finance, it will witness EigenLayer digging in its heels and further solidifying its position with respect to financial services.

Roxanne Williams

Roxanne Williams has recently joined as a market reporter for CryptoNewsZ - the 24/7 crypto news site, where she produces recent stories, technical analysis and price updates on world's leading cryptocurrencies.

Related Articles

Back to top button