Kelp DAO launches KEP token, unlocking liquidity with 1:1 EigenLayer points.

The LRT protocol, Kelp DAO, announced its token KEP on 2/21, stating that the token can bring liquidity to EigenLayer points/rewards. Due to the lack of liquidity in the current staking points of the EigenLayer protocol, Kelp DAO not only provides liquidity for EigenLayer staking assets but can also bring liquidity to its points.

LRT Battle: ether.fi, Puffer Finance, and Kelp DAO are in the top three. What is the story behind staking and restaking?

Kelp DAO Launches KEP

Kelp DAO has announced that 1 KEP token represents 1 point of EigenLayer rewards earned by Kelp DAO. Users have full autonomy to store, share, and utilize their accumulated EigenLayer rewards as they see fit.

Kelp DAO mentions that users can claim the KEP tokens they earned in the previous week on a weekly basis.

What are the benefits of acquiring EigenLayer rewards with KEP?

Kelp DAO explains that KEP is an ERC-20 token that can be freely traded, enhancing the liquidity of EigenLayer rewards.

Kelp DAO argues that earning EigenLayer rewards is not limited to staking on EigenLayer; earning KEP through Kelp DAO also provides liquidity. Additionally, individuals solely interested in accumulating EigenLayer rewards can now freely collect and trade these rewards, engage in long and short positions without the necessity of holding ETH for exchange.

How to claim KEP?

Kelp DAO will open the claim process for KEP on their official website. Upon claiming, the corresponding EigenLayer rewards will be reduced. A 0.5% fee will be charged for the claiming transaction.

On-chain rewards offer teams more flexibility and room for adjustments compared to token rewards.

Hackers Target Staking Derivatives, Investors Should Be Cautious

Due to the frenzy around staking derivatives, many individuals are currently exploring new protocols like restaking to earn rewards and potential airdrops. However, this has also attracted the interest of hackers who use various deceptive methods, such as fake posts with phishing links, to deceive users and cause significant losses of staked derivative assets in wallets. Please refer to the following article for precautionary measures:

Disappear with a Click! What are the Phishing Methods and Preventive Measures for "Offline Authorization Signature"? Fake EigenLayer Case Study