Overview
EigenCloud, formerly EigenLayer, was founded by Sreeram Kannan, a former University of Washington professor, and is built by Eigen Labs. It introduced restaking to Ethereum in 2023.
The idea: people who stake ETH to secure Ethereum can reuse (“restake”) that same ETH to also secure other services, such as oracles, bridges or data networks, and earn extra rewards. New projects get security without building their own validator network.
In June 2025, the project rebranded as EigenCloud, describing itself as a verifiable cloud: a platform where developers can run apps and AI agents and prove that the results are correct. At the same time, a16z crypto bought $70 million of EIGEN.
How it works
- Users restake ETH (or liquid staking tokens) through EigenLayer, directly or via platforms like ether.fi.
- Operators run software for Actively Validated Services (AVSs) — the services secured by restaked ETH.
- AVSs pay rewards to restakers and operators.
- If an operator misbehaves, part of the restaked ETH can be slashed (taken away). Slashing went live in April 2025, which made the security real.
EigenCloud’s own services include EigenDA, a data service used by rollups such as Mantle, and new tools for running verifiable programs and AI.
The EIGEN token
| EIGEN at a glance | |
|---|---|
| Total supply | about 1.86 billion EIGEN (growing ~4% a year) |
| In circulation (Oct 2026) | about 978 million |
| Price (29 Oct 2026) | about $0.20 |
| All-time high | about $5.65 (December 2024) |
| Market cap | about $200 million |
| Restaked value (Oct 2026) | about $6 billion (DeFiLlama) |
EIGEN can be staked to secure services where mistakes can’t be proven automatically (such as whether an AI answer is correct), a feature Eigen calls “intersubjective” security. New EIGEN is issued each year to reward participants.
Risks
- Low revenue. Many AVSs pay little, so extra rewards for restakers are modest.
- Layered risk. Restaked ETH can be slashed by several services; problems could spread.
- Restructuring. Eigen Labs cut about 25% of its staff in July 2025 to refocus on EigenCloud.
- Token supply. Inflation and unlocks add supply every year.
EigenCloud vs. the competition
| EigenCloud | Lido | Symbiotic | |
|---|---|---|---|
| Main role | Restaking + verifiable cloud | Liquid staking | Restaking |
| What’s staked | ETH, LSTs, EIGEN | ETH | Many assets |
| Token | EIGEN | LDO | — |
Our verdict
EigenCloud created one of Ethereum’s most important new ideas and still secures billions of dollars. Its pivot to a verifiable cloud for AI is ambitious and well-funded.
But real income from services is still small, the system is complex, and EIGEN has lost about 96% of its value. EIGEN is a high-risk bet on restaking and verifiable computing becoming big businesses. Invest only what you can afford to lose.
This review is for information only and is not financial advice.