Advertisement
Eigen Foundation Unlocks EIGEN Token with $6.7 Billion Valuation
- EIGEN token unlocking soon, ready for trading on major exchanges like Bitfinex and Binance.
- EigenLayer’s TVL exceeds U$20 billion after raising US$170 million in venture funding.
- Initial EIGEN supply is 1.67 billion tokens, with future increases, trading at US$4.00 on Aevo.
The EIGEN token unlocking is mere hours away. By the time you read this, the Ethereum restaking protocol EigenLayer will be ready (or close) to trade on major exchanges.
Both Bitfinex and Binance announced they would be among the first to list EIGEN – with the latter offering trading pairs such as Bitcoin and Tether.
EigenLayer TVL Pushes Past US$20 Billion
EigenLayer had raised US$170 million (AU$245.8 million) in venture funding, pushing its total value locked (TVL) over US$20 billion (AU$28.9 billion).
EIGEN is launching with an initial total supply of approximately 1.67 billion tokens, but its supply will increase over time, similar to Ethereum’s dynamic supply model. EIGEN was distributed to ecosystem partners and the community through two significant airdrops earlier this year.
Currently, EIGEN futures contracts are trading at US$4.00 (AU$5.82) on the Aevo platform, resulting in an estimated fully diluted valuation of over US$6.7 billion (AU$9.7 billion).
Related: Ethereum ETFs Pick Up Speed as BlackRock’s ETHA Surpasses $1 Billion in Total Value
The EigenLayer platform enhances Ethereum’s security by enabling developers to build new services that utilise the protection of Ethereum’s staked assets, while offering the EIGEN token to handle unique off-chain faults without compromising the Ethereum network’s integrity.
Henry Child, Head of Tokens at Bitfinex, said they’re excited about the launch of EigenLayer’s novel approach to staking:
EigenLayer’s mission to bolster blockchain protection while fostering innovation aligns perfectly with our commitment to supporting transformative projects in the digital asset space.
Henry Child, Bitfinex EigenLayer Not Without Controversy
Despite being one of the largest players in the Ethereum ecosystem, the airdrop of EIGEN tokens in May 2024 – which had been locked since then – wasn’t without hiccups.
The decentralised Ethereum app, which enables extra profit through re-staking tokens, excluded key investors like those from the US through restrictive airdrop criteria, despite initially accepting their deposits. This issue also affected users accessing through third-party apps.
Related: Are FTX Repayments Starting? Here’s What You Need to Know
In May, it made headlines again and raised eyebrows amid concerns over conflicts of interest. Ethereum Foundation researcher Justin Drake announced he had joined EigenLayer in an advisory role with a “significant EIGEN token incentive”.
Author
Aaron Feuerstein
Aaron Feuerstein is a freelance writer based in Melbourne. His focus is on decentralised finance and the regulatory space surrounding blockchain. He holds a Master's in Accounting. When he is not studying the latest legal case, he enjoys his time as a modest but eager hobby cook.
