EigenLayer Increases Restaking Limit and Adds More Tokens

EigenLayer increases Restaking limit and adds more tokens

In the latest tweet on twitter, EigenLayer announced the expansion of the LST token deposit limit on their platform. At the same time, they also announced that new Liquid Staking Tokens will be supported including sfrxETH from Frax Finance, mETH from Mantle, and LsETH from Liquid Collective.

NEW LSTs + UNPAUSEhttps://t.co/FzO9CBEQC5

— EigenLayer (@eigenlayer) January 10, 2024

EigenLayer, the first project to introduce the ReStaking model, is a solution to solve the problem of layered security. ReStaking is a smart contract that allows ETH staking participants to reuse locked ETH to increase the security of other protocols.

https://app.eigenlayer.xyz/

This staking activity will take place from January 29 to February 2, 2024.

Similar to previous cap increases, Restaking activities will be limited to 200,000 tokens per category. When this limit is reached before the above time frame, staking activities will be suspended.

During the previous cap lift in December 2023, EigenLayer attracted a large amount of LST in the form of ETH and reached the milestone of 1 billion USD in total value locked into the network.

Gradually raising the ceiling and setting limits in each round helps EigenLayer test the product and minimize unnecessary risks related to the amount of assets locked to the platform.

EigenLayer is a Restaking project with the ambition to reuse the amount of ETH staked into the network to apply for other tasks such as Data Availability (through the EigenDA product) and validating newly established networks (through AVSs).