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$600M worth of Ether restaked to enhance the security of Omni Network

TL;DR

  • Omni Network gets $600 million in Ether from Ether.Fi to amp up security.
  • EigenLayer, the top Ethereum restaking protocol, will benefit from the investment.
  • Investor interest surges as EigenLayer removes staking cap, paving the way for future growth.

In a groundbreaking move, Omni Network has secured a monumental deal worth $600 million in Ether (ETH) from restaking protocol Ether. Fi. This substantial investment is set to fortify the security of the Omni testnet and mainnet, marking a significant milestone in blockchain interoperability.

Strategic partnership fuels growth

Omni Network, a layer-1 interoperability blockchain facilitating secure connections between Ethereum rollups via restaking, has announced a strategic partnership with Ether.Fi. This alliance underscores Omni’s commitment to pioneering advancements within the restaking ecosystem.

The $600 million infusion represents a notable portion of Ether.Fi’s total value locked (TVL) currently stands at $1.88 billion. As the world’s largest liquid restaking protocol, Ether.Fi has experienced a remarkable surge, with its TVL soaring by over 163% in the past month, according to DefiLlama data.

The $600 million worth of Ether will be funneled into EigenLayer, the leading Ethereum restaking protocol boasting a staggering $10.3 billion in TVL. This injection of funds will significantly bolster EigenLayer’s capabilities in securing and validating various networks, further solidifying its position as a trailblazer in the liquid staking domain.

EigenLayer, established in 2021, empowers validators and stakers to restake liquid-staking derivative tokens such as Lido Staked Ether and RocketPool’s rETH. These assets are pivotal in enhancing network security while generating additional yield within decentralized finance protocols.

Surging investor interest

Investor interest in EigenLayer has surged following recent developments, including a $100 million funding round led by venture capital firm Andreessen Horowitz (a16z). Additionally, EigenLayer completed a $50 million funding round in March, spearheaded by Blockchain Capital. These investments underscore the confidence in EigenLayer’s innovative approach to liquid staking.

EigenLayer experienced a significant uptick in activity after temporarily removing its staking cap to stimulate organic growth. During this period, EigenLayer’s TVL skyrocketed by an impressive 181%, reaching $6.05 billion by Feb. 10. While a new staking cap has been implemented, the project plans to permanently eliminate this limit in the future, further propelling its expansion.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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Benson Mawira

Benson is a blockchain reporter who has delved into industry news, on-chain analysis, non-fungible tokens (NFTs), Artificial Intelligence (AI), etc.His area of expertise is the cryptocurrency markets, fundamental and technical analysis.With his insightful coverage of everything in Financial Technologies, Benson has garnered a global readership.

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