EigenLayer, a restaking protocol, faced criticism over its first airdrop and has announced an additional airdrop of 100 EIGEN tokens to 280,000 qualifying wallet addresses. The initial announcement allocated 15% of its total supply to the community, but some users found the provisions of the airdrop program restrictive. To address this, the Eigen Foundation announced that users who interacted with the protocol before April 29th would receive an additional airdrop, including the original claimants. Initial claimants from “season 1” are set to receive a minimum of 110 EIGEN, while the second wave of “season 2” claimants will receive a minimum of 100 EIGEN for their participation between March 15th and April 29th.
The backlash against EigenLayer’s “stakedrop” program primarily stemmed from EIGEN’s non-transferable token structure, the smaller-than-expected 15% community allocation, and strict geo-blocking and anti-VPN measures that excluded users from 30 countries. The protocol aimed to prevent Sybil farms from abusing the system by implementing a cut-off point on April 29th, which some users felt left them out of the initial airdrop. EigenLayer acknowledged the concerns and stated that it would address missed testnet user allocations in the next phase of the program.
EigenLayer’s tokenomics structure has also raised questions within the community. With only 45% of the total supply distributed to the community and 15% accessible through airdrops, some users have expressed dissatisfaction with the token returns compared to their staking efforts. Despite Eigen’s intentional disincentivization strategy to prevent Sybil attacks, user feedback has prompted revisions to address community concerns. The lack of rewards for early supporters in EigenLayer may impact the strength of the community and its overall investments in the protocol.
Prior to the official token distribution event on May 10th, EIGEN perpetual futures contracts are already trading for $10 on the derivatives market, valuing the latest airdrop at $280 million. EigenLayer will keep the tokens non-transferable until a later undisclosed date to ensure that key features are established before community transfers can occur. Private investors and team members will be subject to a one-year lock-up period post-transferability, with gradual monthly unlocking thereafter to ensure fair distribution among protocol users. Despite the concerns raised by the community, EigenLayer continues to monitor feedback and make adjustments to improve its protocol and address user concerns.
In response to user feedback and criticism, EigenLayer has implemented changes to its airdrop program to include more users who may have been omitted in the initial phases of the protocol. The addition of a second wave of claimants and adjustments to the minimum token allocations aim to address concerns about fairness and inclusivity in the community distribution process. While the tokenomics structure and distribution model have raised questions and criticism, EigenLayer remains committed to engaging with its community and refining its protocol to ensure a positive user experience and sustainable growth in the decentralized finance space.
