Ethereum-based staking protocol EigenLayer has seen its complete quantity locked (TVL) attain almost $6 billion after briefly lifting its deposit restrict between February 5 and at this time.
Information from DeFiLlama exhibits that the protocol at the moment has a TVL of $5.95 billion, nearly 3 times greater than the TVL of simply 5 days in the past.
This makes it one of many high 5 protocols within the TVL rankings, forward of well-liked decentralized trade Uniswap and lending platforms Spark and Compound.
An estimated $961,000 of the deposits come from customers depositing Lido’s sETH, $206,000 are deposits of Swell’s swETH and $189,000 are deposits of Mantle’s mETH, BlockIntel knowledge exhibits.
EigenLayer doesn’t have its personal token, however depends on an open market to safe its community.
This open market permits validators to decide on to enroll in any Actively Validated Service (AVS) of their selection, locking their very own ETH or liquid ETH into these good contracts and subjecting them to their strict phrases and situations.
TVL caps had been initially launched to forestall a single token from dominating the blockchain and doubtlessly inflicting malicious occasions.
The newest resolution to take away TVL limits on liquid staking tokens (LTS) indicators that it’s a optimistic time for the staking ecosystem, Amitej Gajjala, co-founder of liquid staking answer Kelp DAO, advised Blockworks.
“It’s a step nearer to making a stage taking part in area for all savers and sustaining credible neutrality,” Gajjala stated.
For liquid staking protocols, the next TVL means extra room for innovation and progress, whereas for LST restakers it means entry to comparable rewards as native restakers, even when just for a restricted time, he stated.
Gajjala added: “It is a glimpse into what the EigenLayer mainnet launch might seem like and the longer term interplay between restakers and AVSs.”