EigenLayer has risen as Ethereum’s second-largest DeFi protocol by locking in $12.4 billion after Ethereum’s shift to a Proof-of-Stake network in September 2022. This growth is due to Ethereum’s solid staking foundation and EigenLayer’s unique offering, which allows validators to earn extra by securing actively validated services through restaking their ETH. With the launch of its restaking protocol in June 2023, EigenLayer introduced a novel income stream for validators, termed “security-as-a-service.” Notably, out of 3 million ETH staked in EigenLayer, 62% are involved in secondary protocols, showcasing the protocol’s significant impact on Ethereum’s ecosystem. The expected launch of EigenDA in early Q2 2024 as the first actively validated service highlights EigenLayer’s role in promoting cost-effective layer-2 transactions, marking a strategic advancement for Ethereum’s DeFi sector.
