EigenLayer and LRTs

EigenLayer and LRTs have experienced similar and explosive growth, comparable to that of LSTs and LSTFi in previous months.

Currently, Lido dominates the LST market with a 71% share, followed by Rocket Pool at 9%, Binance at 5%, and others.

With the introduction of EigenLayer’s restaking, there has been a decline in the Liquid Staking TVL since March 12, as many users began staking their tokens natively on EigenLayer.

Looking at the restaking space, EigenLayer’s TVL has seen explosive growth. Currently, there is $14 billion worth of LST + Eth locked on EigenLayer.

In terms of TVL distribution, 65% is native Eth and 34% is LST tokens. Within the LST tokens, the majority is stETH, followed by swETH, mETH, and others.

In the LRT market, eETH dominates with a 38% share, followed by ezETH at 32%, and then pufETH and rsETH. The market share of these tokens has remained mostly stable over time, although ezETH has shown significant growth.

Final thoughts:

• Currently, 1.8 million ETH is restaked on EigenLayer without LRT token representation. As LRT tokens are integrated into DeFi, this ETH is likely to be restaked through LRT protocols.
• As EigenLayer’s TVL increases, a corresponding growth in LRT TVL can be observed.
• The TVL of LST protocols is expected to continue decreasing.
• Assuming there are no security vulnerabilities, leaders such as eETH and ezETH are likely to maintain their market lead in terms of TVL due to network effects.