3-minute introduction to eigenlayer Eigenlayer is a new type of neural network layer that is designed to capture the intrinsic structure of the data it processes. It achieves this by learning a set o

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Understanding Eigenlayer in 3 Minutes

Eigenlayer is a re-staking protocol that uses ETH or stETH/rETH to re-stake and provide security for other protocols. Its main clients include sidechains, app chains, and middleware. It is not useful for DApps like Uni because Uni is directly built on layer 1/2, which provides security.

The concept of shared security was originally proposed by Cosmos and was borrowed by Eigenlayer. In fact, the Ethereum system has borrowed many innovations from the Cosmos system, such as DA's sampling technology.

Security is a big market, and all layer 1/2 protocols are essentially working on security. There are now various ways to participate: /DApps on layer 1/2 /Building app chains (like DXY). The challenge is that validator costs are high, and initially, due to low market value, the economic security level is low. /Building rollups, with various models including TIA RU, Layer3, etc. /Re-staking /Middleware like $OCT. Speaking of $OCT, it is built on Near, but unfortunately, it didn't catch the bull market in the last round, so $OCT has not gained traction.

Eigenlayer, although competing for the business of layer 1/2, has also provided more scenarios for ETH as collateral, which is beneficial for the promotion of ETH as money.

Eigenlayer is more like middleware, on which multiple AVS (using Eigenlayer's services) can be developed. EigenDA is the first AVS developed by the Eigenlayer team.

DA itself is a form of storage and sorting. The simplest DA is a centralized storage, and the most complex/secure one is Ethereum's DA. EigenDA uses the nodes restaking ETH for security to safeguard the DA. EigenDA even uses the latest technology in the DA field - erasure code technology.

With EigenDA, the entire DA market becomes more diverse (complex), ranked by security from high to low:

  • ETH DA
  • EigenDA/CelestiaDA
  • Multisig/committee DA, such as the layer 3 of Arbitrum using this model

It can also be said that the DA market is in a period of explosion/chaos.

At this point, a metaphor can be drawn: Eigenlayer is a parasitic protocol of Ethereum. It targets the same market as layer 1/DA but leverages Ethereum's existing decentralization/economic security to discount and sell Ethereum's security/decentralization.

Compared to Celestia, EigenDA may not necessarily have the same level of decentralization because its nodes are definitely a subset of Ethereum nodes. However, economically, it is far superior to Celestia. This is because Celestia's profits may not be enough to support its operation for the time being, and it needs to consider long-term economic security. EigenDA, on the other hand, leverages the existing profitable nodes of Ethereum to provide value-added services, which is cost-effective.


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