
Breaking the 140 billion mark, EigenLayer TVL faces community skepticism: Insufficient demand for AVS may lead to profit crisis.
Breaking the 140 billion mark, EigenLayer TVL faces community skepticism: Insufficient demand for AVS may lead to profit crisis.
However, with the surge of TVL, there have been doubts within the community about the profitability of the EigenLayer protocol. Chudnov, an anonymous developer from the 3Jane derivatives exchange, pointed out that the current security measures of AVS in EigenLayer are less than 10% of the total TVL. In other words, the amount of Ether pledged in EigenLayer is much higher than the actual demand, which could lead to a sharp decline in the returns from re-staking for users (demand exceeds supply), ultimately resulting in a rapid decrease in TVL. Chudnov stated:
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On-Chain Analysis Company Glassnode ReportsOn-chain analysis company Glassnode noted in it…