The EigenLayer restaking protocol is preparing to lift the transfer restrictions on the EIGEN token on September 30. With the upcoming activation of the token transfer feature, stakeholders will soon be able to trade and transfer their share of EIGEN tokens, including airdrop rewards. The project clarified that holders of staked tokens must comply with the 7-day withdrawal period to unlock their EIGEN tokens.

This update follows the distribution of 86 million EIGEN tokens during the protocol’s second stakedrop, which was targeted at active stakeholders from March 15 to August 15, 2024. Tokens released in this and the previous stakedrop in April were initially non-transferable. EigenLayer is a platform that allows users to deposit and participate in staking Ether with the goal of distributing those funds to secure third-party networks or actively audited services. The platform’s total supply of 1.67 billion native tokens is expected to be used in a cryptoeconomic security system called inter-subjective forking.

Pre-market trading platforms like Hyperliquid value derivatives of the EIGEN token at around $3.4, with a fully diluted valuation of $5.4 billion. Despite an initial influx of significant deposits during the phased rollout, EigenLayer has recently seen significant outflows, causing its total value locked to fall from an all-time high of $20 billion in June to $12 billion.

Image: CoinGape