Ethereum’s restaking platform, EigenLayer, has unlocked its native EIGEN token, enabling it to be traded, transferred, and staked. Upon its release, the token performed well, debuting at $4.32, giving it a fully diluted valuation (FDV) of $7.2 billion, according to CoinMarketCap data. Nearly 43% of the trading volume occurred in the EIGEN/USDT pair on Binance, which listed the token following the unlock at 5:00 am UTC on October 1.
This unlocks also paves the way for developers to create Actively Validated Services (AVSs) supported by EIGEN staking. The protocol is set to roll out programmatic incentives for participants who actively engage in AVS development and support.
Aylo, the pseudonymous founder of Alpha Please, noted on X that the last ecosystem map he reviewed showed over 60 Actively Validated Services (AVS) being built on EigenLayer.
He added that he believed the “AWS for decentralized services” would achieve a much higher valuation than what the current pre-market was reflecting.
EigenLayer’s airdrop occurred in two phases: the first, Season 1, distributed 113 million EIGEN tokens to restakers, while the second, Season 2, allocated 86 million tokens, primarily to node operators and protocol participants.
EigenLayer saw its activity peak in June, with just under $20 billion in Total Value Locked (TVL), as reported by DeFiLlama. However, TVL has since decreased to approximately $12 billion.
The decline in Total Value Locked (TVL) can partly be explained by stakers pulling funds after becoming eligible for an airdrop. However, the protocol experienced substantial outflows following a controversial report regarding its airdrop policy.
According to CoinDesk, Eigen Labs, the organization behind EigenLayer, had allegedly shared its employees’ wallet addresses with ecosystem projects planning token airdrops.
In response, EigenLayer released a blog post refuting the claims, stating that the protocol had “no knowledge or evidence of any employee at Eigen Labs exerting pressure on any team for undue benefit.”
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