Danny is CoinDesk's Managing Editor for Data & Tokens. He owns BTC, ETH and SOL.
Restaking, an already hot service on the Ethereum blockchain, is now entering the Solana ecosystem, bringing profit-making opportunities but also risks.
Interviews with the teams building this infrastructure, investors evaluating it and startups who might utilize it showed how Ethereum's trickle-down tech is being reimagined for Solana. Nevertheless, doubters fear restaking brings little benefit to Solana and fret it could build a financial house of cards.
While EigenLayer's restaking systems mostly benefit Ethereum scaling solutions – the so-called layer-2 blockchains built atop Ethereum and designed to augment its abilities – the restaking schemes being built for Solana are generally focused on applications. That's partly because Solana isn't seen as fragmented as Ethereum; it isn't dependent upon, and subservient to, a vast array of layer-2 blockchains.
The revelation nonetheless puts Jito in a strong position for early dominance of the Solana restaking scene. Jito has a strong reputation among protocols and validators; over 73% of stake-weight, or the proportion of SOL tokens pledged to secure the Solana blockchain, run on validators that use Jito technology. Itstokens in December kicked off the ongoing rush of Solana ecosystem airdrops. This made it a household name among airdrop farmers, a core contingency of stakers and restakers.
Solayer Labs' Rachel Chu told CoinDesk the startup is close to raising $10 million, with one check coming from Anatoly Yakovenko, one of Solana's founders and figureheads. His participation is a sign of embrace for a team that doesn't have deep Solana roots. Chu was previously a core developer at Ethereum-based decentralized exchange SushiSwap, while her business partner Jason Lee built Ethereum wallet service MPCvault.
EigenLayer told Picasso it was keeping its system limited to Ethereum, according to Love, so the company started building its own restaking hub and AVS. Restakers had deposited $8 million worth of SOL and a handful of liquid staking tokens by press time. Jito doesn't stand to inspire the same airdrop hunter calculus as the others. It already airdropped its JTO token last year.
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