Aug 21, 2024

EigenLayer’s Rapid Ascent: $12.9B Locked And Counting EigenLayer is making waves in the DeFi world, with $12.9 billion now locked up—a staggering 11% increase in just a week. The total amount of ETH being restaked has soared to an impressive $14.5 billion, signaling a massive vote of confidence in this emerging protocol. A closer look reveals that a significant 70% of EigenLayer’s Total Value Locked (TVL) is in Wrapped ETH (WETH), amounting to $8.8 billion. Meanwhile, new entrants like Symbiotic and Karak are quickly gaining traction, with $1.57 billion and $826 million in TVL, respectively. This rapid diversification of the ecosystem highlights the growing interest and investment in restaking. According to Mike Silagadze, CEO of Ether.fi, “Restaking could revolutionize capital efficiency in DeFi, but it’s not without risks. We’re seeing a 5x leverage effect on staked ETH.” This innovative approach could indeed supercharge the potential returns on ETH, making your assets work harder for you. However, it also comes with significant risks, particularly the threat of multi-network slashing, where a mistake in one protocol could result in substantial losses across your entire stack. 1/6 #EigenLayer is on fire 🔥 $12.9B locked up, jumping 11% in just a week! Total #ETH #restaking now at a whopping $14.5B 🚀 Everyone's chasing those sweet gains, but watch out for the risks lurking 👀 Is this DeFi's next golden ticket? Let's break it down 🧵👇 #blockchain … pic.twitter.com/DBWcjuXtjg