The decentralized finance sector is experiencing a substantial shift with the rollout of an innovative protocol that strengthens the security and functionality of Ethereum, significantly enhancing the range of capabilities and interaction opportunities for participants within the cryptocurrency domain. In harmony with the relentless expansion of this vibrant industry, and fueled by our commitment to push the limits of this constantly evolving landscape, we are ecstatic to unveil our integration with EigenLayer, the foundational pillar for Restaking. This initiative has resulted in the creation of Eigenpie, an advanced SubDAO by Magpie that focuses on liquid restaking. Aimed at enhancing the security, decentralization, and evolution of Ethereum, Eigenpie allows users to restake their ETH positions, thereby maximizing their passive income potential. Through this approach, we aspire to propel the reach and prowess of DeFi into new realms, forging unprecedented opportunities for users and the entire community.

What is EigenLayer?

EigenLayer is a new infrastructure built on Ethereum, designed to enhance security in the crypto world. It introduces the concept of “Restaking,” which allows users to utilize their ETH or LSTs more than once. This can be considered as reusing your ETH or ETH LSTs to augment security and earn additional rewards. If you already hold ETH, either directly or through Liquid Staking Tokens (LSTs), you can leverage the technology of EigenLayer to “restake.” This means your assets will contribute to the protection of more applications, and you’ll get incentivized.

Liquid Restaking vs Native Restaking

• Liquid Restaking: Involves depositing liquid staking tokens (LSTs) into the EigenLayer smart contracts.
• Native Restaking: Refers to directing the withdrawal process of an Ethereum Validator node to EigenLayer’s smart contracts, specifically EigenPod. Participation in Native Restaking requires the operation of an Ethereum Validator node. Involves depositing natively staked ETH tokens into the EigenLayer smart contracts.
• LRT: Liquid Restaked Tokens, also known as LRTs, represent restaked ETH or LSTs and provide users with an innovative way to leverage their assets more effectively. When users stake their tokens into the EigenLayer smart contracts they receive LRT in return.

Eigenpie: A SubDAO for Liquid Restaking

Magpie is developing Eigenpie, which is designed to deliver Liquid Restaking services by leveraging the technology of EigenLayer. The main focus of Eigenpie is to maximize passive income opportunities while contributing to the long-term development of the Ethereum ecosystem.
On Eigenpie, participants are provided with the chance to deposit their LSTs to receive a liquid restaked version of their tokens. Through this restaked version of their assets, users can effectively add another layer of yield to their ETH positions, hence gaining more flexibility and increasing their capital efficiency.

Liquid Restaking on Eigenpie

Eigenpie adopts a distinctive method for Liquid Restaking. We are dedicated to enhancing the user experience, expanding opportunities, and ensuring compatibility with Liquid Staking platforms throughout DeFi, with an emphasis on long-term security and minimizing hazards.
To segregate the risks associated with any particular LST from the rest supported by Eigenpie, we intend to generate a “Restaked” variant of each LST that is approved for deposit on our platform. This approach significantly diminishes the risk of vulnerabilities linked to the depletion of a single LST, which could influence our Restaked token and potentially other LSTs that are involved.

Isolated Liquid Restaking (ILR)

Isolated Liquid Restaked Tokens are LSTs restaked by Eigenpie that can only be minted by depositing a specific LST, not a basket of different LSTs. Users can deposit their LSTs on Eigenpie to receive a liquid restaked version of their specific assets.
We aim to enable support for an array of LSTs from various platforms, making them available for Isolated Liquid Restaking on Eigenpie. To facilitate a seamless transition into restaking, the Isolated Restaked tokens that users receive upon depositing their LSTs into Eigenpie will retain their original names, with the prefix “m” added.

Example

Isolated Liquid Restaked ETH by Eigenpie

Isolated Liquid Restaked ETH
Isolated Liquid Restaked ETH are isolated, liquid, restaked ETH tokens created by Eigenpie. LST holders have the opportunity to maximize their rewards by converting their assets into Isolated Liquid Restaked ETH. With ILR ETH, they can effectively add an additional layer of income to their ETH positions while continuing to earn yield from their underlying LSTs. Each Isolated Liquid Restaked ETH token is backed by one specific asset.
Upon minting Isolated Liquid Restaked ETH via Eigenpie, users will observe a gradual increase in the value of their liquid restaking token relative to ETH. Additionally, Eigenpie will offer users the opportunity to explore further DeFi opportunities through isolated Liquid restaked ETH tokens, thereby amplifying their potential for higher returns.

The EGP Token

EGP Token
EGP, the governance and revenue-sharing token of the Eigenpie ecosystem, promotes decentralized decision-making and financial benefits for its holders. By integrating with various protocols and fostering innovation, Eigenpie enhances its utility, attracting a wider user base. This approach aligns the platform’s growth with participant prosperity, driving user engagement and success.

Security

Eigenpie prioritizes the security and trust of its users. As part of our commitment to transparency and robustness, we are proactively preparing to undergo comprehensive audits of our protocol. We are engaging with top-tier industry experts to ensure a thorough and rigorous review. To fortify the security framework of our platform, we have integrated an advanced multi-signature mechanism across all our smart contracts. Building on our history of strategic initiatives, Magpie has established collaborations with key industry players like Pendle Finance, PancakeSwap, Radiant Capital, and Wombat Exchange, successfully amassing over 190 Million in TVL. These preparations underscore our dedication to delivering a unique, secure, and rewarding DeFi experience to the Ethereum community.
The launch of Eigenpie is strategically designed to advance the development of EigenLayer and Ethereum, as well as broaden the offerings within the Magpie Ecosystem. We look forward to boost user involvement, enhancing rewards, and encourage interaction with EigenLayer’s infrastructure. Eigenpie is dedicated to optimizing the user experience by offering a refined range of passive income options within a streamlined and cohesive DeFi ecosystem.
Eigenpie will introduce a reward point system to recognize the engagement of its members, including those who deposit LST and refer other users.
About Eigenpie: Eigenpie is an innovative SubDAO created by Magpie, focusing on the restaking of ETH LSTs via EigenLayer. As a liquid restaking platform for Ethereum, Eigenpie’s core mechanism enables users to convert their Liquid Staked ETH tokens into Isolated Liquid Restaked ETH tokens. These are restaked versions of ETH LSTs, created by Eigenpie. This process allows users to earn passive income from Ethereum staking and EigenLayer revenue simultaneously, without requiring a lockup period.