EigenLayer’s Total Value Locked (TVL) increases to nearly $6 billion.
This surge represents a 170% increase from $2.15 billion since February 5, based on DeFiLlama data. This growth of approximately 2.3 million ETH represents approximately 2% of the total circulating supply of ETH.
TVL’s surge has catapulted EigenLayer into TVL’s top five DeFi protocols, ahead of Uniswap and behind giants like Lido, Maker, Aave, and JustLend.
This significant increase follows EigenLayer’s decision to temporarily lift deposit limits, which were previously set at 200,000 ether ($500 million) for each liquid staking token.
As EigenLayer aims to strengthen organic demand and encourage participation through reward points and potential Eigen token airdrop rewards, this move could ultimately eliminate these caps entirely and “promote decentralization while creating a permissionless and neutral environment.” “It is part of a broader strategy to foster
EigenLayer, a protocol that facilitates Ethereum deposits and re-staking through liquid staking tokens, provides users with the opportunity to earn additional rewards while supporting the security of third-party networks.
EigenLayer has expanded its liquid staking token offering since its inception in June 2023 with contributions from leading staking projects and a $50 million Series A funding round led by Blockchain Capital in March 2023.