Source: EigenLayerRelated: EigenLayer eyes consumer adoption post EIGEN unlock, founder saysGradual roll-outLaunched in 2023, EigenLayer secures third-party protocols — dubbed actively validated services (AVSs) — against a pool of “restaked” cryptocurrencies used as collateral. Restaking involves taking a token that has already been staked — posted as collateral with a validator in exchange for rewards — and using it to secure other protocols simultaneously. Slashing is the primary method for securing proof-of-stake protocols — including Ethereum as well as “restaking” protocols such as EigenLayer — and involves penalizing a network’s node operators for poor performance or misbehavior.“If Operators do not meet the conditions set, the AVS may penalize them.
EigenLayer plans to start “slashing” restakers on April 17, resulting in the Ethereum restaking protocol’s “first feature-complete iteration,” it said in an April 2 announcement. Implementing slashing will mark EigenLayer’s final step toward establishing the protocol as “infrastructure for a new generation of verifiable apps and services built on the Verifiable Cloud,” it said in a post on the X platform.
But, if the Operator runs the service successfully, AVSs can reward the Operator’s performance and incentivize specific activity,” EigenLayer said in an April 3 blog post. This “allows for a free marketplace where Operators can earn rewards for their work and AVSs can launch verifiable services,” the post said. EigenLayer’s total value locked (TVL) over time.
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Author / Journalist: Cointelegraph by Alex O’Donnell
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