** Two questions:**

1. Fragmented Security: Since the birth of Web3, encryption economy security has always faced a fundamental challenge-fragmented security. From the early days of BTC to the iterative upgrades of ETH and other layer 1 networks, building a strong encryption economy security system has always been difficult, especially in the ETH network. At a high level, middleware and non-EVM applications on top of the ETH network need to create their own trust networks, which is extremely inefficient: on the one hand, the cost of bootstrapping security is very high, and projects need to attract validators and motivate them to provide security guarantees; on the other hand, this process is resource-intensive and time-consuming, and once the Decentralization security network is launched, it needs to continuously invest resources for maintenance and expansion. With the addition of more and more applications, encryption economy security becomes more fragmented throughout the network.
2. Tokenstake Utilization Rate: In Decentralized Finance, Tokenstake is one of the core means to protect Consensus and validation mechanisms, as well as one of the main gameplay methods. However, there have always been issues with stake efficiency: the tokens staked by stakeholders are usually only used to support the security of a single network, which not only limits the utilization efficiency of tokens but also leads to low capital utilization. In addition, stake rewards usually only come from stake rewards and cannot be increased through other means, which is not economically attractive enough for stakeholders. As more and more networks and applications require stake security, stakeholders face the limitation of resource locking and cannot flexibly support the needs of multiple networks.

Eigenlayer: Shared Security on the ETH Chain

Introduction to the Eigenlayer Project

EigenLayer is an innovative protocol based on ETH, introducing a new primitive called "re-stake". This innovative approach allows the reuse of staked ETH and Liquid Staking Tokens (LST), enabling users to choose to join the EigenLayer Smart Contract to re-stake their ETH or LST to obtain Liquid Restaking Token (LST). This process only extends the economic security of encryption to various applications on the ETH network, while also opening up pathways to earn additional rewards.

Main Mechanisms of Eigenlayer

Main Participants and Stakeholders

EigenLayer solves the fragmentation problem by allowing developers to leverage the existing validator set on the Ethereum blockchain and stake their ETH. This approach is called 'shared security.' Shared security, along with the drop in entry barriers for developers and the creation of new opportunities for ETH stakers to actively participate in multiple networks that require encryption, collateral, and external operators, maximizes their reward potential.

• Restakers: Users stake their ETH in EigenLayer, allowing their funds to be restaked and the security to be extended to various AVS. They can run their own Node or re-delegate it to an operator.
• Operator: Organizations or individuals running Nodes and providing infrastructure services to AVS in exchange for rewards. They execute Smart Contracts and ensure the normal operation of AVS, complying with the predefined rules and slashing condition imposed by AVS.
• AVS: Services built on EigenLayer and executed by operators, such as DApp protocol. AVS ensures security through re-delegation and imposes its own slashing condition to prevent malicious behavior by operators.
• AVS users: individuals or entities accessing services provided by AVS, benefiting from the enhanced security and reliability provided by the re-collateralization mechanism.

AVS (Active Verification Service)

AVS (Active Validation Services) obtains security by utilizing the restaking mechanism, reducing the cost and complexity of building a dedicated security network for DApps, Layer2, cross-chain bridges, etc., by relying on the shared security mechanism of EigenLayer. The main function of AVS is to ensure the normal operation of the service through cooperation with operators. Operators are responsible for executing the Smart Contracts of AVS and following the rules and conditions set by them. In order to prevent malicious behavior, AVS will set slashing conditions, and once the operator violates the rules or behaves improperly, the slashing mechanism will be triggered and the stake assets will be slashed. Through AVS, developers and users can build and use various application services on the secure network provided by EigenLayer, thus reducing security maintenance costs and benefiting from EigenLayer's shared security.

Eigenlayer: The absolute stake overlord

EigenLayer is the first project to propose Restaking. Since its launch in June 2023, EigenLayer has experienced rapid growth, and its restaking mechanism and security have been validated by the market. With a high TVL and wide market recognition, it firmly occupies a leading position in the restaking track. Previously, its TVL exceeded 20 billion USD, making it the second-largest Decentralized Finance protocol after Lido.

Eigenlayer Financing Background and Partners

• On May 24, 2022, EigenLayer completed the Angel Round financing, with the specific amount undisclosed and invested by dao5, cFund, Coinbase Ventures, etc.
• On 2022-08-01, EigenLayer completed a $14.5 million seed round of financing, led by Polychain Capital and Ethereal Ventures. On March 28, 2023, EigenLayer completed a $50 million Series A financing round led by Blockchain Capital, with participation from Coinbase Ventures, Polychain Capital, Bixin Ventures, Hack VC, Electric Capital, IOSG Ventures, and others. The valuation of this financing round is $500 million.
  • 2024–03–22, EigenLayer completed a $100 million Series B financing, with investment from A16z. Total financing: $165 million. LST Partners: Puffer, Ether.fi, Renzo, Swell, EigenPie, Zircuit, Restake Finance, and Bedrack ** AVSNode operator👇**

Eigenlayer Tokenomics

$EIGEN: Work Token

According to the White Paper published by Eigenlayer on GitHub, unlike common governance tokens, EIGEN is positioned as a general and verifiable 'work token'. The so-called 'work token' refers to practical tokens that can be staked by participants to perform certain tasks (such as blockchain verification). If participants violate specific work commitments, the 'work token' they staked may face slashing (slash) penalties. In the context of EIGEN, EIGEN stake complements ETH stake and introduces a new mechanism to handle subjective errors that cannot be recognized on-chain but still need to be penalized. Eigenlayer will support a complementary stake model between ETH and EIGEN, where ETH stake is mainly used to solve objective consensus issues, i.e., determining whether Nodes are engaging in malicious behavior, and EIGEN stake is mainly used to solve subjective economic issues, i.e., determining whether Nodes' actions are reasonable. Through EIGEN's stake, EigenLayer can ensure comprehensive verification capabilities without forking the ETH mainnet consensus, and is expected to unlock a series of powerful and previously impossible active verification services (AVS) in Oracle Machine, DA, database, game Virtual Machine and prediction market, activating new innovations.

Token Allocation

EIGEN is expected to commence transfer and sale on September 30th, with an initial total supply of 1.67 billion Tokens:

• Airdrop Rewards: 15%
• Community Plan: 15%
• Ecological development: 15%
• Early contributors: 25.5%
• Investors: 29.5%

How to claim Airdrop

EigenLayer will distribute 15% of the initial token supply to multiple Token Airdrop seasons. The first season distributed 4.54% (75.91 million) of the initial supply, which has now been claimed. 5.15% is reserved for the second season, and the remaining Airdrop Tokens will be distributed to future seasons. The second season of EIGEN Token will be distributed in three main categories:

• Stakers and operators: Users who actively staked during the 2nd quarter (4.2%)
• Ecosystem partners: AVS, LRT, Rollups, RaaS providers, and other major contributors (0.6%)
• Community members: early advocates, contributors, and projects that play a key role in supporting EigenLayer (0.35%) The second Airdrop has completed the Snapshot and opened for claiming on September 17th. The claiming window will last until March 16th, 2025. Visit: https://claims.eigenfoundation.org/ the only official claiming website for claiming $EIGEN.

##gate Launches $EIGEN Pre-market Trading Market To welcome the upcoming listing of EIGEN, gate has now launched the $EIGEN pre-market trading market. gate pre-market trading is a special Over-the-counter Trading service (OTC), which allows investors to buy and sell new Tokens before they are officially traded. This service allows both parties to set prices and complete transactions on their own, enabling them to buy and sell Tokens at the expected price before public trading of the Tokens. Investors may acquire potential hot Tokens at a cost lower than the market listing price, thus gaining a price advantage. gate $EIGEN pre-market trading for more details, please see the announcement: https://www.gate.io/announcements/article/36357