Ether.Fi Launches Non-Custodial Liquid Restaking Protocol on Ethereum - Blockchain.News

Ether.Fi Launches Non-Custodial Liquid Restaking Protocol on Ethereum

Ether.Fi launches a non-custodial liquid restaking protocol on Ethereum, allowing users to maintain control of their keys while increasing staking yields through integration with Eigenlayer.

  • Mar 13, 2024 10:12
Ether.Fi Launches Non-Custodial Liquid Restaking Protocol on Ethereum

Ether.Fi, a new staking protocol for Ethereum, has officially launched its non-custodial liquid restaking solution. The protocol allows participants to retain control of their keys while delegating staking, offering a unique approach to staking on the Ethereum network, according to Binance Project Reports.

According to the project's announcement on March 13th, 2024, deposits made to Ether.Fi are natively re-staked with Eigenlayer, a protocol that repurposes staked ETH to support external systems such as rollups and oracles. This process provides an additional economic security layer, ultimately increasing yield for ETH stakers.

The native utility and governance token for the Ether.Fi protocol is $ETHFI, which will be used by the community to govern key aspects of the protocol. These aspects include the Ether.Fi treasury, key protocol upgrades, and protocol fees and distributions. As of March 12th, 2024, the total supply of ETHFI is 1,000,000,000, with a circulating supply of 115,200,000 (~11.52% of the total token supply) upon listing.

Ether.Fi's token distribution allocates 2% of the total token supply to the Binance Launchpool, 11% to an airdrop, 32.5% to investors and advisors, 23.26% to the team, 1% to the Protocol Guild, 27.24% to the DAO Treasury, and 3% to liquidity. The Binance Launchpool allocation of 20,000,000 ETHFI tokens is set to begin on March 14, 2024.

The launch of Ether.Fi comes at a time when the Ethereum community is increasingly focused on staking solutions following the network's transition to a proof-of-stake consensus mechanism. By offering a non-custodial, liquid restaking option, Ether.Fi aims to provide greater flexibility and control for ETH stakers while simultaneously supporting the growth and security of the Ethereum ecosystem.

As the adoption of Ethereum continues to grow, with more decentralized applications (dApps) and users leveraging the network, the demand for efficient and secure staking solutions is expected to rise. Ether.Fi's unique approach to restaking and its integration with Eigenlayer positions the protocol to play a significant role in the future of Ethereum staking.

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