EigenLayer Launches Rewards MVP on Holesky Testnet

On Jun 6, 2024

EigenLayer has officially launched the MVP version of its rewards system on the Holesky testnet, according to EigenLayer Blog. This initial release allows AVS’s to integrate and test the reward mechanics for node operators and restakers, thereby setting up incentives within the network.

Significance of the Rewards MVP

The MVP launch marks a pivotal step for the EigenLayer community by enabling various stakeholders to participate in testing and refining the rewards system:

For AVS’s: AVS’s can now test the rewards system functionality and experiment with different incentives for node operators and restakers on the Holesky testnet.
Node Operators: Operators can explore different ways to earn rewards through their participation in AVS’s, providing essential services to the EigenLayer ecosystem.
Restakers (Delegators): Restakers can delegate their stake to operators and start claiming their share of the rewards generated by AVS’s.

This collaborative testing environment aims to refine the rewards system and ensure a successful mainnet launch, driving shared success within the EigenLayer ecosystem.

Key Benefits and Features

The MVP experience brings several key benefits and features:

AVS Token Distribution Channel: Streamlined distribution of any ERC-20 token to operators and stakers, with AVS’s setting their own reward bands between 7 and 90 days, paid in 7-day increments.
Flexible Rewards API: AVS’s can schedule recurring token rewards with a single on-chain transaction.
New In-App Claiming Experience and API: Operators and restakers can claim their earned rewards through the API or the application, with simplified mechanisms.
Efficiency: The rewards infrastructure ensures secure and scalable weekly settlements and batch posting to L1. Restakers can claim rewards weekly or let them accrue, and both operators and restakers can set their claim address for compliance and safe wallet practices.

Future Roadmap

EigenLayer has outlined an ambitious roadmap for future enhancements:

Additional Rewards Testnet Features: Introduction of a rewards discovery experience for restakers.
Mainnet Launch: Following successful testing on Holesky, the rewards system will be launched on the EigenLayer mainnet.
EigenPod Redesign: A major redesign is scheduled for Q3, introducing checkpoint proofs to enhance the accuracy and efficiency of ETH holdings. The upgrade will also feature batched withdrawal claiming, making the process significantly cheaper and enabling restaking of both consensus and execution rewards.
Objective & Intersubjective Slashing: Enhanced security mechanisms to ensure operator reliability.
Unique Security: AVS’s can purchase unique security to protect themselves and their stakeholders. This feature grants AVS’s the exclusive right to slash a portion of restaked capital, providing an additional layer of protection.

These enhancements are part of EigenLayer’s ongoing commitment to rapid iteration and improvement, with more features yet to be announced.

Get Involved!

AVS’s: Explore the rewards API to incentivize operator and restaker networks.
Operators: Register nodes for AVS’s and start claiming rewards on Holesky.
Restakers: Delegate to operators running AVS’s and test claiming restaker rewards.
Developers: Experiment with the APIs and provide valuable feedback.

For more information, refer to the Rewards documentation or try claiming via the testnet app.

Image source: Shutterstock

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