EigenpiePrice

(EGP)

EGP functions as a governance and revenue-sharing token. By locking EGP to receive vlEGP (Vote-Locked EGP), users gain the right to participate in protocol governance and vote on key decisions. Additionally, vlEGP holders receive a share of the protocol's revenue generated from restaking fees. This mechanism is designed to align the interests of token holders with the long-term growth and stability of the platform.

vlEGP is the vote-locked version of the EGP token, obtained by staking EGP on the platform at a 1:1 ratio. While EGP is liquid and tradable, vlEGP is required for earning rewards and participating in governance. To convert vlEGP back into liquid EGP, users must initiate a 60-day cooldown period. During this cooldown, users continue to accumulate rewards but lose their ability to vote on protocol proposals.

The Force Unlock feature allows users to bypass the standard 60-day cooldown period for immediate liquidity. However, this convenience comes with a steep penalty that begins at 80% and decreases linearly over the 60-day duration. The tokens forfeited through this penalty are typically redistributed to the protocol treasury or the community. This feature serves as an emergency exit for users who require immediate access to their assets.

Unlike traditional protocols that pool various assets together, Eigenpie utilizes an 'isolated' Liquid Restaking Token (LRT) model. When a user deposits a specific Liquid Staking Token (LST) like stETH, they receive a corresponding isolated token like mstETH. This structure ensures that the risks associated with one specific asset are contained. If an issue occurs with one LST, it does not affect the security or value of other assets held within the protocol.

Users earn Eigenpie Points by depositing supported LSTs or delegating native assets to the protocol. These points are used to determine eligibility for various allocations and rewards. Beyond protocol revenue, vlEGP holders are often eligible for 'side-airdrops' from partner projects and Actively Validated Services (AVS) that utilize the underlying restaking infrastructure. Eligibility for these rewards is frequently linked to early participation and community engagement via major Web3 wallet campaigns.

Eigenpie has been audited by reputable security firms, including BlockSec and PeckShield, to ensure the safety of its smart contracts. The protocol addresses the primary risk of restaking—slashing—by partnering with professional node operators. Slashing occurs if a node operator misbehaves, potentially resulting in the loss of staked assets. By utilizing experienced infrastructure providers, Eigenpie aims to mitigate these risks and provide a more secure environment for users to earn rewards.