The pioneering Ethereum restaking protocol goals to strike a steadiness between decentralization and neutrality.
EigenLayer, the pioneering Ethereum staking protocol, has lifted all limits on its liquid staking token swimming pools till 3 PM EST on Feb. 9.
Introduced on Feb. 5, the transfer permits uncapped entry to EigenLayer’s 9 present liquid staking token (LST) swimming pools, and coincides with the introduction of assist for 3 new LSTs from Frax, Mantle, and Liquid Collective.
“This unpause marks the short-term removing of TVL caps, paving the way in which for a future the place pauses and caps are lifted completely,” EigenLayer mentioned. “This places the EigenLayer protocol at a vital juncture, looking for to steadiness neutrality with decentralization over the long-term.”
EigenLayer permits Ethereum stakers to earn extra yield by concurrently securing third-party Actively Validated Providers (AVSs) whereas additionally validating the Ethereum community. Customers can take part both by natively restaking Ether or by depositing LSTs into its traditionally capped swimming pools.
Whereas EigenLayer beforehand expanded its LST swimming pools by cautiously progressively elevating its deposit limits, the protocol has just lately loved explosive development after considerably rising the caps on its LST swimming pools.
The undertaking presently boasts a complete worth locked (TVL) of $2.17B, rating because the Twelfth-largest DeFi protocol by TVL and the fifth-largest dApp on Ethereum, in accordance with DeFi Llama.
Decentralization vs Neutrality
EigenLayer accompanied the announcement with a weblog publish exploring the way it can finest steadiness decentralization with neutrality shifting ahead, proposing a number of measures supposed to navigate mentioned issues.
The proposed measures embody eradicating all limits on from its swimming pools, eradicating caps on funds from AVS to restakers, and limiting “protocol incentives and governance at 33% per entity.”
“The intention is to marry the ideas of credible neutrality (minimal subjectivity) and decentralization,” EigenLayer mentioned. “This steadiness is important for belief and variety throughout the ecosystem, reflecting classes discovered from Ethereum itself.”
EigenLayer additionally just lately expanded the variety of LSTs it helps to mitigate its contribution to the numerous dominance of Lido’s stETH over the availability of staked Ether.
