Eigen Foundation Commits 1% of EIGEN Token Supply to Protocol Guild for Ethereum Layer 1 R&D

The Eigen Foundation has announced a big move by committing 1% of the total EIGEN token supply to the Protocol Guild, a collaborative funding mechanism for Ethereum Layer 1 R&D.

The Eigen Foundation has announced a large allocation of 1% of the total EIGEN token supply to the Protocol Guild, a collective funding mechanism for Ethereum Layer 1 R&D.

This effort directly benefits over 180 members from 29 teams actively engaged in several crucial areas, including client development, research, specification writing, testing, and coordination. The distribution underscores the foundation’s commitment to enhancing the Ethereum ecosystem and ensures ample support for key players in its infrastructure.

1/ The @ProtocolGuild is a collective funding mechanism for Ethereum’s Layer 1 R&D maintainers, with 180+ members across 29 teams.

Ethereum thrives because of its incredible contributors—the developers, researchers, and coordinators working tirelessly behind the scenes. To… pic.twitter.com/p0Yydksmvi

— Eigen Foundation (@eigenfoundation) December 12, 2024

EIGEN Tokens Facilitate Broader Blockchain Participation

Moreover, the foundation has commenced its Programmatic Incentives v1, which will issue nearly 66.95 million EIGEN tokens over the first year. These incentives include 1% for EIGEN stakers and operators and a 3% allocation for Ethereum stakers and liquid staking token operators.

Actively Validated Services (AVS), a pillar of the EigenLayer ecosystem, will be fully engaged through this tiered incentive mechanism. By incentivizing stakers and operators, the foundation aims to foster a robust and vibrant network that ultimately benefits the broader blockchain community.

This dual approach—direct funding for Ethereum developers via the Protocol Guild and the implementation of programmatic incentives—showcases a holistic method of ecosystem development.

While the incentives drive adoption and participation within the EigenLayer ecosystem, the direct funding ensures the uninterrupted continuation of the critical work in maintaining and advancing Ethereum’s Layer 1 infrastructure.

These initiatives align with the foundation’s broader mission of empowering decentralized networks and the individuals who operate them.

Previously, CNF reported that on September 30, the restrictions on Eigen token transfers were lifted, marking a significant development in the token’s fluidity. This increased flexibility is expected to generate more market activity for the token, ultimately attracting greater interest and participation within the crypto community.

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