EigenLayer to Launch Permissionless Token Support, Enhancing Security in the Crypto Economy

Eigen Labs recently announced a significant update to its EigenLayer protocol, introducing the Permissionless Token Support feature. This update will allow any ERC-20 token to be added as a re-stakable asset without permission, greatly expanding the range of assets available for decentralized network security and unlocking the cryptographic economic security of unlimited ERC-20 tokens on EigenLayer.

No Permission Token Support? Enhancing Cryptoeconomic Security

The upcoming feature from EigenLayer will allow any ERC-20 token to be considered as a re-staked asset, providing cryptoeconomic security for its Asset Verification Service (AVS). This feature will enable AVS to freely choose which tokens to accept, establish cross-ecosystem partnerships based on token supply and utility, while ensuring the security and stability of its services. This update marks a step closer towards the goal of open innovation.

Diversified Restaking: A Wider Range of Token Choices

Through this update, any ERC-20 token can be used for cryptoeconomic security, bringing a richer and more diverse range of security options to the network. This will enhance overall security options within the network and allow AVS to collaborate with tokens held by the community. Potential ERC-20 asset categories include AVS native tokens, stablecoins, and tokens denominated in BTC.

Customized Security Configuration: Flexible Allocation of Work and Rewards

AVS will have the ability to fully customize its cryptoeconomic security configuration. They can choose to allocate work and rewards to various tokens supported by EigenLayer-operated nodes, further enhancing flexibility and security.

New Uses for AVS Tokens: Unlocking Token Value

With this update, AVS will be able to use its native tokens to provide cryptoeconomic security, unlocking new uses for AVS tokens, including obtaining basic security functions and using them to reward restakers and operational nodes.

Implementation: Role of Smart Contracts and Factory Contracts

At the protocol level, new strategies (defining which ERC-20 tokens can be restaked on EigenLayer) can be created through factory contracts to include any ERC-20 token. These tokens can then be incorporated into AVS's decision system for cryptoeconomic security and earn AVS rewards through task assignments.

When Will It Launch? Testing and Mainnet Deployment Plans

Currently, this feature is in the permissioned test phase on the test network. EigenDA will be the first to test and use AVS with no permission token support. The mainnet deployment plan is scheduled for next week, with user interface support for restakers set to be added to EigenLayer's web application later in the third quarter.

This upcoming update will undoubtedly provide more choices and flexibility for security in decentralized networks, further advancing the development of the cryptoeconomy.