EigenLayer (EIGEN): Layering Up With The Eigenmagick
What is EigenLayer (EIGEN)?
EigenLayer is an innovative protocol described as 'recursively composable', which enhances blockchain networks by recycling the security of a base layer such as Ethereum. This method allows for improved computation and greater scalability by leveraging the established security of the underlying blockchain, which ensures that enhanced functionality doesn't compromise security, thus maintaining trust and reliability. The name 'Eigen', derived from the German word for 'own' or 'intrinsic', reflects its function of adding unique, yet integral functionalities to the base layer.
Who Created EigenLayer (EIGEN)?
EigenLayer was created by Eigen Labs, an engineering and research-focused organization dedicated to driving innovation within the Ethereum ecosystem. The company was founded by Sreeram Kannan, who previously worked as a professor at the University of Washington and led the UW Blockchain Lab. Along with Kannan, many of the initial team members also came from the same lab, contributing to the early development of EigenLayer.
What VCs Back EigenLayer (EIGEN)?
Several well-known venture capital firms have invested in EigenLayer, including a16z Crypto, Polychain Capital, Blockchain Capital, and Electric Capital. Other notable investors include Coinbase Ventures, Ethereal Ventures, Hack VC, and Breyer Capital. A diverse group of investors, including Delphi Digital, Galaxy Digital, and ConsenSys, has also supported the project.
How EigenLayer (EIGEN) Works
This protocol enables users to stake tokens on the primary blockchain, which in turn, allows the EigenLayer to operate more efficiently and scale effectively. Unlike traditional methods that layer additional blockchains on top of an existing one, EigenLayer recycles the security attributes of the base blockchain, thereby maintaining robust security while adding new functionalities. This approach avoids the creation of separate, isolated blockchains, instead promoting a system where multiple layers, each tailored for specific functions, can coexist and operate recursively. This not only preserves but also optimises the use of resources across the blockchain network, ensuring that the scalability and functionality enhancements do not compromise the security or decentralisation of the underlying blockchain.
The Eigen token plays a critical role in the functionality of the EigenLayer. It is utilised primarily for staking, which is the process of locking tokens in a blockchain protocol to support network operations, such as transaction validation or smart contract execution. Stakers are incentivised through rewards derived from the operations carried out on the EigenLayer, thus aligning the interests of token holders with the overall health and efficiency of the network.
Furthermore, the Eigen token is pivotal for governance within the EigenLayer ecosystem. Token holders have the opportunity to participate in decision-making processes regarding updates and changes to the protocol. This democratic approach ensures that the development and evolution of EigenLayer reflect the collective preference of its user base, fostering a community-centric model of governance.
EIGEN Goes Live on Bitget
Looking ahead, EigenLayer could revolutionise sectors like finance, healthcare, and logistics, where scalability limits blockchain applications. Its capacity to support multiple specialised layers opens up prospects for advancements in data privacy, secure communications, and decentralised autonomous organisations (DAOs). There’s no better way to trade EIGEN and join EigenLayer than to do so on Bitget.
EIGEN on Bitget Bitget CandyBomb
EIGEN will come to Bitget CandyBomb, the first-of-its-kind tasks-and-airdrop platform by Bitget!
Starting from the opening of trading (lasting 7 days), you can grab tickets to share 20,000 EIGEN simply by completing the given tasks!
All you have to do is to go Bitget CandyBomb, click on the [Register] button below the corresponding event and complete any tasks you prefer.
Complete Tasks to Get EIGEN now!
How to Trade EIGEN on Bitget
Listing time: As soon as the liquidity meets the listing requirements on 1 Oct. (UTC)
Step 1: Go to EIGEN/USDT page
Step 2: Enter the amount and the type of order, then click Buy/Sell
Trade EIGEN on Bitget now!
Disclaimer: The opinions expressed in this article are for informational purposes only. This article does not constitute an endorsement of any of the products and services discussed or investment, financial, or trading advice. Qualified professionals should be consulted prior to making financial decisions.
