Question 1

How does Eigenlayer work?

Accepted Answer

Eigenlayer is a protocol built on Ethereum that introduces restaking, allowing ETH stakers to reuse their staked assets to secure additional decentralized applications (dApps) and services. By opting into Eigenlayer smart contracts, users can extend the security of their staked assets across multiple services, earning additional rewards. This mechanism enhances Ethereum's cryptoeconomic security while providing stakers with increased yields.

Question 2

Is Eigenlayer a secure platform?

Accepted Answer

Eigenlayer leverages Ethereum's robust Proof-of-Stake (PoS) infrastructure, enabling developers to build on this foundation without duplicating costs or complexities. The protocol introduces a new cryptoeconomic primitive known as restaking, allowing ETH stakers to opt-in and validate new software modules within the Ethereum ecosystem. This approach enhances security by pooling resources and aligning incentives among participants.

Question 3

How to use Eigenlayer?

Accepted Answer

To use Eigenlayer, ETH stakers can opt into the protocol by connecting their wallet to the Eigenlayer platform. Once connected, users can delegate their staked ETH or Liquid Staking Tokens (LSTs) to secure various decentralized applications and services within the Eigenlayer ecosystem. In return, they earn additional rewards based on their participation and the services secured.

Question 4

What services does Eigenlayer offer?

Accepted Answer

Eigenlayer offers a platform for building and operating decentralized services that leverage Ethereum's security. Developers can deploy Actively Validated Services (AVSs) to extend Ethereum's security guarantees to their applications. Users can participate in securing these services by restaking their ETH or LSTs, thereby earning rewards and contributing to the overall security of the ecosystem.