The EigenLayer Foundation is set to introduce a new rewards program aimed at stakers and operators who secure Actively Validated Services (AVSs). This initiative will enhance the Ethereum restaking protocol by offering a new incentive program that includes 4% of the total EigenLayer (EIGEN) supply.

EigenLayer Rewards Program Details

EigenLayer connects various restaking protocols, allowing stakers and operators to help secure AVSs by restaking their ETH. In return, they receive staking rewards. The upcoming initiatives will mark the first time that stakers and node operators receive token-based rewards directly from AVSs via the EigenLayer protocol.

As part of the new programmatic incentives, 4% of the EIGEN supply will be distributed through “rewards boost” distributions. This means that stakers and operators will receive rewards proportional to the number of AVSs they support. Essentially, the more AVSs a network participant supports, the more tokens they will receive from the EigenLayer Foundation.

The goal of this design is to incentivize AVSs to begin distributing rewards to stakers and operators early, to benefit from and obtain a larger share of the early EIGEN programmatic incentives.

Support for New AVSs

EigenLayer also plans to support AVSs that may not have the capacity to distribute rewards immediately. Stakers and operators supporting these AVSs will still receive small distributions of EIGEN. A ‘rewards floor’ will be available outside the main rewards boost to ensure every genuine AVS can allocate some rewards to its stakers and operators. This should encourage new actively validated services to join the EigenLayer ecosystem.

The AVS rewards are set to launch in the coming weeks, with programmatic incentives scheduled to roll out in the coming months. Since its contracts went live on the mainnet in June last year, EigenLayer has seen over 4.8 million ETH and more than 108 million EIGEN restaked. The platform currently supports 16 launched AVSs and over 300 operators.

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