On April 9, 2024, EigenLayer, a decentralized finance platform specializing in offering Ethereum (ETH) stakers reaping rewards through its services, went live on the main network for the first time.
Based on a current update from Cointelegraph’s article, the protocol with over $13 billion in user deposits started its release on Ethereum‘s main network, albeit incompletely. Some elements of the protocol are still under development and have not been introduced yet.
EigenLayer Now Live on Ethereum
Sreeram Kannan’s crypto staking protocol, which he founded, recently shared on social media platform X that their data availability solution, named EigenDA, is now operational on Ethereum.
EigenDA serves as an approved and up-to-date data storage solution (Actively Validated Data Service, AVDS) that operates on the foundation of EigenLayer. Following its introduction on Ethereum, EigenDA is well-placed to go head-to-head with other data storage providers like Celestia.
With the launch of EigenLayer on Ethereum’s mainnet, there is an added capability enabling delegators to assign their re-staked balances to chosen EigenLayer operators who have registered to manage AVSs (Anomaly Detection and Verification Systems). EigenLayer, as the blockchain restaking service provider, announced that operators outside of Eigen Labs’ EigenDA could also register with this protocol.
EigenLayer to Expand Protocol Features
This year, EigenLayer intends to roll out new functionalities including accepting payments directly from Automated Verification Systems (AVSs) to operators within the protocol, as well as implementing a penalty mechanism called slashing.
To make things clearer, validators face consequences if they don’t carry out their tasks accurately on our platform. These consequences come in the form of losing their staked cryptocurrency as a penalty. However, it’s important to note that these specific features will not be part of the mainnet launch as stated in our recent blog post.
Significantly, the initial release of this mainnet does not contain two key features: payments from AVSs to operators within the protocol, and the implementation of slashing. We aim to let the EigenLayer marketplace grow and become more stable before introducing these elements to the mainnet at a later date this year.
The two services will be merged into the platform at an unspecified point in time this year, providing EigenLayer Marketplace with ample opportunity to grow and become more consistent.
An extra capability is intended for EigenLayer’s built-in payment system: the distribution of interest to validators known as “restakers.”
Like Ethereum, the protocol will operate on a Proof-of-Stake (PoS) mechanism.
EigenLayer Ranks Second among Ethereum’s DeFi Protocols
Simultaneously, before its mainnet debut, EigenLayer has gained significant traction amongst users and ranks as the second biggest DeFi protocol based on DeFiLlama’s data, with a total value locked (TVL) exceeding billions of dollars.
A blockchain staking service allows depositors to earn reward points. This enticing proposition has drawn in a significant number of users, who speculate that these points could potentially be exchanged for tokens in a future distribution.
In the previous year, Eigen Labs, the innovators behind the creation of the protocol, obtained a $100 million investment from Andreessen Horowitz (a16z).
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2024-04-10 12:18