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Ethereum restaking protocol EigenLayer has commenced its token-claim procedure, commonly known as an “airdrop,” for Season 1, Phase 1 rewards.
As per a recent blog entry from the protocol’s development team, users eligible for the new EIGEN token can now obtain it through the claims process following a few weeks of anticipation.
However, it is essential to understand that EIGEN tokens are presently nontransferable, which means users are unable to sell or trade them.
EIGEN Token to Become Transferable in Future
The blog post also indicated that the EIGEN token will become transferable once the development team introduces new features in the coming months.
The provisional target date for these implementations is scheduled for September 30.
It is vital for users to claim their tokens before the claim process concludes on September 7, as any tokens that remain unclaimed after that date will not be distributed.
According to EigenLayer’s documentation, the EIGEN token is not accessible to users in over 30 jurisdictions, including the United States, Russia, China, and Canada.
Moreover, the use of most VPN server addresses for token claims is prohibited.
The current claims process has unlocked 6.05% of the total supply of EIGEN tokens, with an additional 0.7% set to be unlocked in mid-June during “Phase 2.”
At that time, users of applications such as Kelp, Pendle, Equilibrium, and similar platforms will be eligible to claim their tokens.
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The ongoing airdrop primarily serves users who restaked Ether or its liquid staking derivatives on EigenLayer prior to March 15.
Users holding liquid restaking tokens (LRTs) can also claim their rewards now, provided their activities do not fall under “Phase 2.”
Additionally, users who restaked on EigenLayer between March 15 and April 29 are entitled to claim 100 bonus tokens immediately, with the majority of their claims becoming available in mid-June alongside other Phase 2 participants.
The EIGEN airdrop has generated controversy within the decentralized finance (DeFi) community. Leandro Schlottchauer, co-founder of Kuyen Labs, remarked that it could be one of the final “life-changing airdrops.”
In contrast, numerous EigenLayer users have criticized the airdrop for its prohibition on VPN servers, the distribution of nontransferable tokens, and its perceived brief snapshot period.
LayerZero Labs to Exclude Sybil Farmers From Airdrop
As airdrop season continues, LayerZero Labs, a prominent cross-chain interoperability protocol, has pledged to address the issue of sybil farmers ahead of its highly awaited airdrop.
The project has announced that it will carry out an internal review to identify and exclude sybil farmers from receiving allocations in its forthcoming token generation event.
Additionally, the project intends to introduce a reward program, offering a 10% bonus of the intended token allocation to bounty hunters who identify additional sybil users.
LayerZero Labs recently completed the initial snapshot for its highly anticipated airdrop.
In December, the project revealed its plans to distribute tokens to early adopters in the first half of 2024.
The post EigenLayer Launches EIGEN Token Airdrop, Tokens Remain Non-Transferable appeared first on Cryptonews.
