EigenLayer to Enable Mainnet Slashing on April 17

Ethereum restaking protocol EigenLayer is set to begin holding the operators who run nodes and validate transactions responsible for their actions. On April 17, the protocol will turn on slashing on its mainnet, in which operators are penalized for providing poor service or for malicious actions. EigenLayer enables tokenholders to restake their staked ETH, using it to provide security for third-party services to earn additional yield. This leaves restakers liable to being slashed in two ways — if the validator they staked their tokens with originally misbehaves, or if the EigenLayer operators with whom those tokens are restaked misbehave. Last year, EigenLayer began distributing rewards, including its native EIGEN token, to restakers but only activated slashing on the testnets. To continue reading this as well as other DeFi and Web3 news, visit us at thedefiant.io