Glossary · R
Restaking
Re-using already-staked assets (typically staked ETH via LSTs like stETH) as cryptoeconomic collateral for additional decentralised services beyond Ethereum consensus. Also searched as decentralized restaking (US spelling). EigenLayer pioneered the model: stakers opt in to secure Actively Validated Services (AVSs). Extra rewards come with extra slashing risk from AVS operator misbehaviour.
Last updated
How Restaking works in practice
Restaking reuses staked ETH to secure additional services beyond Ethereum itself. The same capital earns a second stream of rewards, and takes on the slashing conditions of every service it secures.
Worked example
10 ETH staked on Ethereum earns the base consensus reward. Restaked to secure three additional services, it earns their fees too — while becoming subject to three additional, newer sets of slashing rules alongside Ethereum's.
Figures are illustrative and chosen to be checkable, not live market data.
The mistake that costs people money
Treating the extra yield as free. It is compensation for correlated risk: a bug affecting several services, or one operator misbehaving across all of them, can cause losses that plain staking would not. Withdrawal is also gated by the slowest commitment.
Restaking: common questions
- What is Restaking?
- Re-using already-staked assets (typically staked ETH via LSTs like stETH) as cryptoeconomic collateral for additional decentralised services beyond Ethereum consensus. Also searched as decentralized restaking (US spelling). EigenLayer pioneered the model: stakers opt in to secure Actively Validated Services (AVSs). Extra rewards come with extra slashing risk from AVS operator misbehaviour.
- How does Restaking work in practice?
- Restaking reuses staked ETH to secure additional services beyond Ethereum itself. The same capital earns a second stream of rewards, and takes on the slashing conditions of every service it secures.
- Can you give an example of Restaking?
- 10 ETH staked on Ethereum earns the base consensus reward. Restaked to secure three additional services, it earns their fees too — while becoming subject to three additional, newer sets of slashing rules alongside Ethereum's.
- What do people get wrong about Restaking?
- Treating the extra yield as free. It is compensation for correlated risk: a bug affecting several services, or one operator misbehaving across all of them, can cause losses that plain staking would not. Withdrawal is also gated by the slowest commitment.
- Where can I learn more about Restaking?
- Our full guide, What Is Restaking / EigenLayer?, covers Restaking in depth with worked scenarios and the risks involved. This glossary entry is the short definition.