EigenLayer Restaking Protocol on Ethereum
What is EigenLayer?
EigenLayer is a protocol developed on Ethereum, which brings forth restaking, an innovative concept in cryptoeconomic security. This concept allows for the utilization of ETH at the consensus level. Users who stake ETH natively or through a liquid staking token (LST) have the option to engage with EigenLayer smart contracts to restake their ETH or LST, thereby extending cryptoeconomic security to more applications on the network and earning extra rewards. Restaking is available for both natively staked ETH and liquid staked tokens like stETH, rETH, cbETH, and LsETH.
Through EigenLayer, Ethereum stakers can contribute to the security of numerous services by restaking their staked ETH and opting-in to multiple services concurrently, resulting in collective security. By repurposing ETH to secure various services, stakers experience reduced capital expenses for participation and a significant enhancement in trust assurances for individual services.
Developers of new decentralized services for Ethereum are typically required to establish a new trust network to safeguard their systems, which leads to fragmented security. EigenLayer addresses this issue by allowing any service, irrespective of its structure (e.g., EVM-compatibility), to access the shared security provided by Ethereumâs stakers, thus fostering an ecosystem for permissionless innovation and free-market governance.
EigenLayer Protocol Features
Tailored Decentralization
Customized Slashing
Operator Delegation
For more: https://decentralised.news/eigenlayer-restaking-protocol-on-ethereum
