Key Takeaways
- 1.67 million EIGEN tokens bought through MetaMask might breach EigenLayer’s lockup coverage.
- Questions come up on inner oversight as EigenLayer workforce pockets linked to unauthorized token sale.
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EigenLayer, introduced an investigation into an unauthorized sale of 1.67 million EIGEN tokens, reportedly dumped by MetaMask at round $3.3 every.
Group Replace
We’re investigating unapproved promoting exercise related to this pockets: (https://t.co/Pp9KoTfACp).
We are going to share our findings with the neighborhood as quickly as attainable.
— EigenLayer (@eigenlayer) October 4, 2024
The transaction, which can have violated EigenLayer’s strict one-year lockup schedule for workers and early traders, has raised questions round token safety and inner compliance.
Arkham Intelligence recognized the suspicious sale, which concerned a pockets funded by EigenLayer’s multi-signature Gnosis Secure. In accordance to blockchain analytics agency Lookonchain, the tokens had been transferred from an EigenLayer workforce pockets earlier than being bought through MetaMask, sparking issues over inner oversight and token safety.
In line with the protocol’s lockup coverage, present and former workers, in addition to early traders, are restricted from promoting or staking EIGEN tokens obtained from Eigen Labs till September 2025.
After that, solely 4% of every recipient’s tokens will unlock month-to-month, with full vesting set for September 2027. The sale seems to have contravened these tips, as EIGEN tokens had been solely airdropped starting on Might 10, 2024, leaving the pockets below the preliminary one-year lockup.
EigenLayer unlocked its token on October 1, propelling it into the highest 100 tokens by market capitalization, with a totally diluted valuation of $7.2 billion. Presently buying and selling at $3.59, the token’s launch generated vital curiosity. Nevertheless, the bizarre promoting exercise has since sparked inner debate inside EigenLayer’s workforce over token distribution and safety protocols.
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