EigenLayer prepares for EIGEN token switch restrictions carry on Sept. 30

• EigenLayer will carry EIGEN token switch restrictions on September 30, 2024.
• Stakeholders should observe a 7-day withdrawal interval to unstake EIGEN tokens.
• Pre-market values EIGEN tokens at $3.4, with TVL dropping from $20B to $12B.

EigenLayer, a outstanding restaking protocol, is ready to take away switch restrictions on its native EIGEN token, enabling stakeholders to commerce and switch their tokens beginning on September 30.

This vital replace comes after months of anticipation, significantly following the protocol’s latest token distributions.

EIGEN token transfers stay non-transferable

EigenLayer has been on the forefront of crypto innovation, permitting customers to stake their ether (ETH) to safe third-party networks and different validated companies. The platform’s native token, EIGEN, which was launched in April, performs a pivotal function on this ecosystem.

Nonetheless, up till now, EIGEN tokens stay non-transferable as a result of restrictions in place following two main “stakedrop” occasions. The tokens remained locked, and stakeholders couldn’t switch or commerce them.

With the lifting of those restrictions, EIGEN holders, together with those that acquired airdropped rewards, will now have the flexibility to handle their property freely.

For individuals who have staked their tokens, EigenLayer clarified {that a} necessary 7-day withdrawal interval have to be noticed for unstaking EIGEN. This provides a minor delay earlier than tokens could be totally withdrawn and traded.

EigenLayer has skilled vital funds outflow

In pre-market buying and selling, derivatives of the EIGEN token have been valued at roughly $3.4, with a completely diluted valuation of $5.4 billion.

Nonetheless, regardless of the preliminary success, EigenLayer has skilled a major outflow of funds in latest months, decreasing its whole worth locked from $20 billion in June to $12 billion.

Because the transferability date approaches, the platform’s future trajectory stays intently watched by the crypto neighborhood.