EigenLayer has surpassed JustLend to become the 4th largest protocol by TVL with $6.99 billion marking a 5.73% increase.
EigenLayer, the Ethereum restaking protoco has overtaken JustLend, the cryptocurrency lending protocol to become the 4th largest protocol in terms of total value locked (TVL).
A 5.73% increase brought EigenLayer’s TVL to $6.99 billion on February 15th. According to DefiLlama’s statistics the TVL of the restaking protocol has increased by 47.95% over the past seven days and by 307% over the previous month.
According to an official announcement, EigenLayer’s TVL began increasing on February 5th after the protocol’s decision to temporarily remove its staking cap to encourage organic development.
The total value of Eigenlayer’s TVL increased by more than 181% during this re-staking window reaching $6.05 billion on February 10 from just $2.15 billion on February 5.
Although a new staking cap was implemented, the project intends to eliminate this limit in the future in a permanent manner allowing validators and stakers to “re-stake” liquid staking derivative coins such as Lido’s stETH and RocketPool’s rETH through the use of restaking protocols such as EigenLayer.
This allows other networks to be validated and protected. It is also possible to use these assets in other decentralized finance (DeFI) protocols to generate additional yield.
Even though liquid staking is presently the most lucrative protocol category with a total TVL of $42.69 billion, restaking protocols are currently in sixth place with a combined TVL of $6.99 billion, as indicated by the data provided by DefiLlama.
According to a post on X by Brianna Montgomery, the strategy lead at EigenLayer in the 30 days leading up to February 9th, one out of every 4 Ethereum validators had set their withdrawal credentials to EigenPod.
In January, just after EigenLayer topped $1 billion TVL on December 28th, there was a surge in interest in staking protocols. According to data provided by Dune, as of the 15th of February, there are a total of 108,574 depositors included in the protocol.
The amount of Ether tokens that EigenLayer possesses at the moment is greater than 1.52 million. Soon, EigenLayer intends to launch its mainnet for operators, enabling investors to run a staking node under their control.
Additionally, according to a statement that was made on X on February 9th, the protocol is getting ready to launch EigenDA, which is a decentralized data availability service that is built on Ethereum.