What is Eigenpie (EGP)?

Deep Dive

1. Purpose & Value Proposition

Eigenpie addresses the risk concentration in traditional restaking by introducing isolated liquid restaking. Each deposited LST (like stETH or wBETH) is wrapped into a dedicated LRT (e.g., mstETH, mwBETH) that’s only exposed to its underlying asset’s performance. If one LST faces security issues, other LRTs remain unaffected (Eigenpie).

This design lets users simultaneously earn:
- Base ETH staking yields (~3-5%)
- Additional rewards from EigenLayer’s Actively Validated Services (AVSs) like blockchain networks/oracles

2. Technology & Architecture

Built as a SubDAO of Magpie, Eigenpie leverages EigenLayer’s restaking infrastructure to secure third-party protocols while maintaining liquidity. Key features:
- Audited Contracts – Partnerships with security firms for protocol safety
- Node Operator Network – Includes P2P Validator and InfStones for reliable validation
- LRT Flexibility – Isolated LRTs retain DeFi compatibility (e.g., used in Zircuit L2 for boosted yields)

3. Tokenomics & Governance

The EGP token facilitates:
- Voting Rights – Recent EIP #02 capped vlEGP (locked EGP) rewards at 50% APR, redirecting excess emissions to buybacks (Eigenpie)
- Reward Access – Locking EGP as vlEGP grants EIGEN tokens and future incentives like Zircuit tokens
- Cooldown Mechanism – 60-day unlock period discourages short-term speculation

Conclusion

Eigenpie reimagines restaking by compartmentalizing risk while maximizing liquidity and yield potential through EigenLayer integration. Its governance model prioritizes sustainable rewards, but the long-term viability hinges on Ethereum’s restaking adoption. How effectively can isolated LRTs balance risk containment with capital efficiency as the ecosystem scales?