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% through the previous week.
Amid this worth rally, main restaking protocol EigenLayer is now the second-largest DeFi protocol when it comes to complete worth locked, in accordance with DeFillama knowledge.
ETH’s worth
Ethereum is presently priced at $3954 following a 4% achieve through the previous day, in accordance with CryptoSlate’s knowledge.
This upward motion in Ethereum’s worth may 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 aimed toward reducing 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 big catalyst propelling the continuing worth surge even additional.
EigenLayer’s hovering TVL
EigenLayer’s TVL soared to an all-time peak of $11.7 billion through 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 every day surge since Feb. 9, in accordance with 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 in the beginning 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 underneath 1 million in early February.
This surge in TVL carefully follows EigenLayer’s determination to carry token restaking restrictions and remove TVL caps for particular person tokens final month. Neighborhood members anticipate these modifications to develop into 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 undertaking to supply rewards of as much as $100,000 to researchers uncovering the platform’s medium or increased severity safety points.
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