EigenLayer Protocol Allows Restaking of Ethereum Assets on Emerging Networks – Cryptopolitan
The EigenLayer protocol, which aims to become a decentralized marketplace for Ethereum node operators and validators to earn fees on additional services, has launched on testnet. The protocol allows ETH validators and stakers to “re-stake” their assets onto other emerging networks. Testing will be phased in three stages to onboard various participants into the ecosystem, with the first stage using Ethereums Goerli testing network. The mainnet launch of the EigenLayer protocol is expected in Q3. EigenLayer founder Sreeram Kannan said that facilitating the moving and re-staking of ETH onto other networks would incentivize validators and stakers with additional yields and allow smaller networks to grow securely. According to the white paper, EigenLayer also has plans to enable restaking for ETH withdrawn from the Beacon Chain following the Shapella upgrade. The protocol aims to address issues with validator economic incentives. EigenLayer has serious backing, having announced $50 million in a Series A funding round in late March led by crypto venture firm Blockchain Capital, along with Coinbase Ventures, Polychain Capital, Electric Capital, and Finality Capital Partner. Ethereum co-founder Joseph Lubin has also praised the project, stating that “[t]he Eigen Labs team is at the forefront of some of the most exciting work happening