EigenLayer Foundation has announced an upcoming bounty program that will reward participants and operators for actively securing validated services.
According to the details in Blog postThe Ethereum (ETH) restaking protocol is also introducing a new incentive program that will provide 4% of the total supply of EigenLayer (EIGEN).
EigenLayer announces rewards booster program
EigenLayer connects different restaking protocols, and helps staking holders and operators secure AVS by restaking their ETH. In return, they receive staking rewards.
When the new initiatives launch, this will be the first time that stakeholders and node operators will receive token-based rewards directly from AVS via the EigenLayer protocol.
Meanwhile, 4% of the offering will be shared with beneficiaries through “boost rewards” distributions as part of the new EIGEN software incentive program.
In this case, stakers and operators will receive rewards proportional to the distribution of AVSs. This means that the more AVSs a network participant supports, the more tokens the EigenLayer Foundation will distribute to them.
“The goal of this design is to incentivize AVS to start distributing rewards to participants and operators early, to benefit from and get a larger share of EIGEN’s early programming incentives,” the blog post reads.
The program will also benefit new AVS
EigenLayer plans to support even AVS systems that may not have the capacity to distribute rewards on day one. Stakeholders and operators that support these AVS systems will still receive small distributions from EIGEN.
A “reward floor” will be available outside of the main rewards payout to allow each real AVS to allocate some rewards to its owners and operators. EigenLayer says this will encourage new, actively validated services to join the EigenLayer ecosystem.
AVS rewards are scheduled to launch in the coming weeks, while programmatic incentives are scheduled to launch in the coming months.
EigenLaye, which launched its contracts on the mainnet in June last year, has seen over 4.8 million ETH and over 108 million EIGEN restakes. There are 16 AVS launched and over 300 operators.
