Ethereum ‘re-staking’ protocol EigenLayer launches on testnet

A caller protocol that allows Ethereum validators and stakers to “re-stake” their assets onto different emerging networks has conscionable launched connected testnet.

The mainnet motorboat of the EigenLayer protocol is not expected until Q3 however, and investigating volition beryllium phased successful 3 stages to onboard assorted participants into the ecosystem. The archetypal signifier is utilizing Ethereum’s Goerli investigating network.

The task has immoderate superior backing and announced $50 cardinal successful a Series A backing circular successful precocious March led by crypto task steadfast Blockchain Capital, on with Coinbase Ventures, Polychain Capital, Electric Capital, and Finality Capital Partner.

EigenLayer aims to go a decentralized marketplace for Ethereum node operators and validators to gain fees connected further services. It allows them to restake assets they received successful speech for staking Ether connected platforms specified arsenic Lido (stETH) and RocketPool (rETH). The assets tin beryllium reused to validate and unafraid different networks specified arsenic side-chains oregon non-EVM blockchains.

According to the whitepaper, EigenLayer besides has plans to alteration restaking for ETH withdrawn from the beacon concatenation pursuing the Shapella upgrade.

“Ethereum validators tin acceptable their beacon concatenation withdrawal credentials to the EigenLayer astute contracts, and opt-in to caller modules built connected EigenLayer.”

The protocol aims to code issues with validator economical incentives. EigenLayer laminitis Sreeram Kannan said that facilitating the moving and re-staking of ETH onto different networks, would incentivize validators and stakers with further yields, and let smaller networks to turn securely.

— EigenLayer (@eigenlayer) April 6, 2023

In precocious March, Ethereum co-founder Joseph Lubin said "The Eigen Labs squad is astatine the forefront of immoderate of the astir breathtaking enactment happening successful Ethereum."

Related: MetaMask Institutional unlocks solo ETH staking marketplace

“Eigenlayer is simply a caller paradigm for fostering protocol-centric innovation done a programmatic, decentralized spot marketplace,” helium added. High praise, but it's worthy noting that Lubin's Ethereal Ventures money has invested successful EigenLayer.

There are presently 17.9 cardinal ETH staked connected the Beacon Chain according to the Ultrasound.Money tracker. At existent prices, this is valued astatine astir $33.6 cardinal which is much than the full marketplace capitalization of USDC. It represents astir 15% of the full Ethereum supply.

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