Ethereum, the second-largest digital asset by market capitalization, is buying and selling close to the pivotal $4000 milestone for the primary time since December 2021, up 15% in the course of the previous week.
Amid this worth rally, main restaking protocol EigenLayer is now the second-largest DeFi protocol when it comes to whole worth locked, based on DeFillama information.
ETH’s worth
Ethereum is at present priced at $3954 following a 4% acquire in the course of the previous day, based on CryptoSlate’s information.
This upward motion in Ethereum’s worth may be linked to the joy surrounding the upcoming Dencun improve scheduled to go reside on the mainnet by Mar. 13. Dencun brings proto-danksharding to Ethereum, a strategic transfer geared toward decreasing transaction bills for layer-2 blockchains, thus tackling scalability issues head-on.
Furthermore, the market is anticipating the potential approval of a spot ETH ETF by the US SEC. Ought to this approval materialize, it may function a major catalyst propelling the continued worth surge even additional.
EigenLayer’s hovering TVL
EigenLayer’s TVL soared to an all-time peak of $11.7 billion in the course of the week, surpassing Aave’s TVL of $11.4 billion.
Notably, on Mar. 5, the protocol witnessed a staggering $790 million optimistic change in TVL, marking its highest each day surge since Feb. 9, based on blockchain analytical agency IntoTheBlock.
The expansion trajectory of EigenLayer’s TVL has been outstanding, particularly up to now 30 days, witnessing a five-fold surge from roughly $2 billion initially of the earlier month to its present determine. Impressively, the whole property locked on the protocol have skyrocketed to greater than 3 million ETH, up from beneath 1 million in early February.
This surge in TVL carefully follows EigenLayer’s determination to carry token restaking restrictions and eradicate TVL caps for particular person tokens final month. Group members anticipate these modifications to grow to be everlasting someday later this yr.
In the meantime, EigenLayer’s distinctive restaking mannequin attracted vital investments, notably a $50 million Collection A funding spherical in March 2023 led by Blockchain Capital and a $100 million funding from Andreessen Horowitz in February 2024.
Nevertheless, EigenLayer’s speedy development has prompted heightened safety scrutiny, prompting the mission to supply rewards of as much as $100,000 to researchers uncovering the platform’s medium or larger severity safety points.
