EigenLayer

The EIGEN token serves as a comprehensive work token within the EigenLayer ecosystem, providing security for a wide variety of digital tasks that can be attributed intersubjectively. Unlike conventional work tokens, which focus on specific tasks with objective faults that are easily verifiable on the blockchain, EIGEN encompasses a broader range of issues. These are situations where multiple external observers can reach a consensus on the task's correctness. Thus, EIGEN expands the scope of tasks that can be securely managed via blockchain technology. EIGEN tokens serve several purposes:

* They are used for staking to address intersubjective faults on the EigenLayer platform.
* They facilitate validation activities across different Actively Validated Services (AVS).
* They offer incentives and impose penalties on operators contingent upon their performance.

Intersubjectively attributable faults refer to mistakes or failures in digital tasks that may not be demonstrable through cryptographic or on-chain proof but are recognizable when agreed upon by external observers. Examples include:

* Data availability: Assessing whether the network provides access to data.
* AI inference accuracy: Judging the accuracy of predictions made by AI models within an acceptable error range.
* Oracle price inputs: Confirming the accuracy of real-world data being reported.

The EIGEN token is designed to secure services addressing these intersubjective faults and ensures penalties are enforced when operators do not meet expected standards.

Staking EIGEN tokens involves committing them as collateral for operators engaged in performing validation and coordination tasks.

The primary concepts underpinning EIGEN staking are:

The circulating supply of EIGEN tokens depends on the issuance policies of the platform. Upon its release, the tokenomics, along with the total supply, will be shaped by factors such as rewards from staking, slashing events, and issuance aimed at securing AVS.

EIGEN is crafted to address faults in decentralized tasks that achieve consensus from multiple external observers. Unlike conventional tokens that only cover tasks with objective proof, EIGEN caters to faults that may not be verifiable on the blockchain but are noticeable off-chain. Its adaptability enables it to secure an array of tasks across several services on the EigenLayer platform.

AVS developers, validators, and operators can leverage the EIGEN token to secure services requiring intersubjective consensus. It complements ETH restaking, with ETH handling objectively verifiable tasks while EIGEN focuses on faults that are more subjective in nature.