TL;DR
- EigenLayer attracts $4.3B in 10 days, becoming the fifth largest protocol in DeFi.
- Staking limit removal drives growth, with $1.9B in WETH and $2.7B in stETH locked in the protocol.
- Restaking interest soars; TVL of $10B on platforms like EigenLayer reflects demand for higher returns on staked assets.
The decentralized finance (DeFi) sector continues to experience dizzying growth, highlighted by the recent rise of EigenLayer, a liquid restaking platform, which has managed to capture attention by becoming the fifth largest protocol in DeFi.
In the last 10 days, EigenLayer attracted an impressive inflow of $4.3 billion, after removing its staking limit on February 5, according to official data from DefiLlama.
This measure, designed to encourage organic demand, resulted in a significant increase in Total Value Locked (TVL).
The removal of the staking limit allowed for explosive growth, with $1.9 billion in wrapped ether tokens (WETH) and $2.7 billion in staked ether (stETH) now locked in the EigenLayer protocol.
This growth is reflected in the broader DeFi landscape, which reaches a TVL of $71.2 billion, the highest level since June 2022.
Restaking emerges as a crucial trend, where platforms like EigenLayer play a fundamental role
The amount of capital secured within these platforms has surged to $10 billion, representing a significant rise from the $350 million reported in December.
This approach enables investors to generate extra yields from ether that has already been staked, thereby bolstering the security and operational integrity of the Ethereum blockchain.
Interest in staking is intensifying, as investors can generate annual returns of 3.7% by staking ether on Lido, with the additional option to “restake” it for greater rewards on platforms such as EigenLayer.
This approach not only provides additional economic benefits, but also helps secure the proof-of-stake based Ethereum blockchain.
The company meteoric rise reflects the growing attraction to decentralized finance and the appeal of staking as a method of earning higher returns on staked assets.
As DeFi continues to expand, the role of platforms like EigenLayer in facilitating these operations becomes increasingly relevant, marking a milestone in the evolution of the crypto ecosystem towards financial decentralization.
