Background#
Currently, more and more middleware, decentralized applications (DApps), and cross-chain bridge projects are adopting a node + staking model. Their approach continuously decentralizes consensus, attracts users to leave larger consensus circles, and enter their smaller circles through airdrops and higher staking rewards. However, for most initial projects, creating a PoS consensus network is difficult. Convincing users to give up other profits and liquidity to participate is not easy. "Restaking" extends Ethereum's established economic trust to protect other distributed systems, such as oracles, bridges, or sidechains.
The concept of "Restaking" was first introduced by EigenLayer, taking staking to a new level - allowing staked Ether not only to protect the Ethereum blockchain but also to protect other services.
What is EigenLayer#
"EigenLayer" is a middleware protocol based on Ethereum that introduces the concept of restaking. Ethereum nodes can restake their staked ETH or LSD tokens into other protocols or services that require security and trust, thereby gaining dual rewards and governance rights. It also extends the utility of the Ethereum consensus layer to various middleware, data availability layers, sidechains, and other protocols, allowing them to enjoy Ethereum-level security at a lower cost.
What is Restaking#
"Restaking" is a derivative behavior of liquidity staking, which can be understood as secondary staking based on liquidity staking. It refers to using tokens (LSD derivative of liquidity staking) to restake with validators on other blockchains to earn secondary rewards, while also helping to enhance the security and decentralization of the new network.