24 Sep
24Sep

EigenLayer is set to lift transfer restrictions on its EIGEN token on September 30, allowing stakeholders to trade and transfer their holdings, including airdropped rewards. However, users holding staked tokens will need to adhere to a 7-day withdrawal period to unstake their EIGEN tokens.

This change follows the distribution of 86 million EIGEN tokens during the protocol’s second “stakedrop” season, which ran from March 15 to August 15, 2024. These tokens, along with those from an earlier stakedrop in April, were initially non-transferable, making this upcoming activation significant for the community.

EigenLayer enables users to deposit and stake ether, directing those funds to secure third-party networks or validated services. With a total supply of 1.67 billion native tokens, the platform aims to implement a crypto-economic security system known as inter-subjective forking.

In pre-market trading, platforms like Hyperliquid are valuing derivatives of the EIGEN token at approximately $3.4, translating to a fully diluted valuation of around $5.4 billion. Despite an initial surge in deposits, EigenLayer has recently experienced substantial outflows, causing its total value locked to decline from a peak of $20 billion in June to $12 billion. As the transferability date approaches, all eyes will be on how this change impacts the market dynamics for EIGEN tokens.

September 2024, Cryptoniteuae

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