EigenLayer, an Ethereum restaking protocol, has started its token-claim process for Season 1, Phase 1 rewards. The protocol’s development team announced that users eligible for the new EIGEN token can now acquire it through the claims process. It is important to note that EIGEN tokens are currently nontransferable, but will become transferable once new features are implemented by the development team, with a tentative target date set for September 30. Users must claim their tokens before the process closes on September 7, as any unclaimed tokens after that date will not be distributed. Users in over 30 jurisdictions, including the United States, are not eligible to claim the token. The claims process has unlocked 6.05% of the total supply of EIGEN tokens, with an additional 0.7% to be unlocked in mid-June during Phase 2.
The ongoing EIGEN airdrop primarily caters to users who restaked Ether or its liquid staking derivatives on EigenLayer before March 15. Users holding liquid restaking tokens (LRTs) can also claim their rewards, as long as they are not part of Phase 2. Users who restaked on EigenLayer between March 15 and April 29 are eligible to claim 100 bonus tokens immediately, with the majority of their claims becoming available in mid-June alongside other Phase 2 participants. However, the airdrop has sparked controversy within the decentralized finance (DeFi) community, with some users criticizing its ban on VPN servers, the distribution of nontransferable tokens, and its short snapshot period. Leandro Schlottchauer, co-founder of Kuyen Labs, stated that it might be one of the last “life-changing airdrops.”
As the airdrop season continues, LayerZero Labs, a cross-chain interoperability protocol, has announced plans to address the issue of sybil farmers ahead of its upcoming airdrop. The project will conduct an internal investigation to identify and exclude sybil farmers from receiving allocations in the future token generation event. Additionally, LayerZero Labs will launch a reward program offering a 10% bonus of the intended token allocation to bounty hunters who identify additional sybil users. The project recently completed the first snapshot for its highly anticipated airdrop and announced plans to distribute tokens to early adopters in the first half of 2024.
EigenLayer users who restaked Ether or its liquid staking derivatives before March 15 are eligible to participate in the ongoing airdrop. The EIGEN token claiming process is currently underway, with users required to claim their tokens before September 7 to receive their rewards. The EIGEN token is currently nontransferable but will become transferable once new features are implemented by the development team. Users in over 30 jurisdictions, including the United States, are not able to claim the token. The claims process has unlocked 6.05% of the total supply of EIGEN tokens, with an additional 0.7% to be unlocked in mid-June during Phase 2.
The controversy surrounding the EIGEN airdrop has led to various criticisms from users within the DeFi community. Despite some users seeing it as a potential “life-changing airdrop,” others have raised concerns about the ban on VPN servers, the distribution of nontransferable tokens, and the short snapshot period. LayerZero Labs’ announcement to exclude sybil farmers from its upcoming airdrop and launch a reward program for bounty hunters is a proactive step to ensure fairness and security in the token distribution process. By addressing these concerns, LayerZero Labs aims to create a more inclusive and transparent airdrop experience for all participants.
