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% throughout 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, in line with DeFillama knowledge.
ETH’s worth
Ethereum is at the moment priced at $3954 following a 4% acquire throughout the previous day, in line with CryptoSlate’s knowledge.
This upward motion in Ethereum’s worth could be linked to the thrill 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 might 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 throughout 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 day by day surge since Feb. 9, in line with blockchain analytical agency IntoTheBlock.
The expansion trajectory of EigenLayer’s TVL has been outstanding, particularly previously 30 days, witnessing a five-fold surge from roughly $2 billion in the beginning of the earlier month to its present determine. Impressively, the overall belongings locked on the protocol have skyrocketed to greater than 3 million ETH, up from beneath 1 million in early February.
This surge in TVL intently follows EigenLayer’s choice to raise token restaking restrictions and get rid of TVL caps for particular person tokens final month. Neighborhood members count on these modifications to grow to be everlasting someday later this 12 months.
In the meantime, EigenLayer’s distinctive restaking mannequin attracted important investments, notably a $50 million Sequence A funding spherical in March 2023 led by Blockchain Capital and a $100 million funding from Andreessen Horowitz in February 2024.
Nevertheless, EigenLayer’s fast development has prompted heightened safety scrutiny, prompting the venture to supply rewards of as much as $100,000 to researchers uncovering the platform’s medium or larger severity safety points.
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