Eigenlayer Fire Octopus Network brings Restaking into the cross-chain ecology

Since the launch of the Ethereum Beacon Chain, the LSD market has rapidly expanded to become the second largest encryption market in encryption, and people have seen the huge opportunities behind the POS pledge industry with tens of billions of assets. **Then Eigenlayer innovatively brought the hot concept of Restaking, which is to obtain more income by re-staking the ETH pledged on Ethereum to other consensus protocols. **

For users, compared with LSD, which has to pay a certain agreement fee, Restaking is like “one fish eats more”, which can obtain multiple benefits. Therefore, many people think that Restaking may be a bigger piece of “cake” after LSD.

Picture: Comparing Restaking to “eating more than one fish”

Some time ago, Octopus Network, another project exploring Restaking infrastructure development in the encryption field, also officially announced its next major version plan “Octupus 2.0”, which attracted attention.

Octopus Network 2.0: dig deep into the biggest pain point of the application chain, and upgrade “shared security”

As a “veteran” of application chain solutions, Octopus Network has brought “just-needed” services such as “secure renting market”, “cross-chain interoperability” and “infrastructure tools” to application chain developers in the past, providing application chain deployment and development Startup, operation and maintenance bring lower threshold and lower cost. The core value provided by Octopus Network is to provide a shared security solution of “Security Rental Market”, which accelerates the popularization of application chain technology to some extent. With the innovative iteration of solutions, especially the concept of Restaking, Octopus Network can further optimize its “shared security” on this basis. As a brand-new shared security mechanism, Restaking has self-evident advantages. Simply put, the Restaking mechanism allows mainstream public chain pledgers to simultaneously pledge mainstream assets to mainstream public chains and application chains to obtain multiple benefits. At the same time, application chains can obtain safe sharing of mainstream public chains at low cost. For the protocol blockchain, it further strengthens the attractiveness and value capture ability of the “shared security market” service. **It enables the upstream and downstream stakeholders of the POS pledge industry, such as pledgers, application chains, and shared security protocols, to form a “win-win” situation. ** On April 14, Octopus Network announced Octupus2.0 at the HK Web3 Festival. According to public reports, **The Octupus2.0 strategic plan mainly revolves around three major directions: NEAR Restaking, NEAR IBC Port, and Adaptive IBC. **

**The first is NEAR Restaking, which is highly expected by the community, that is, the Restaking based on Eigenlayer mentioned above. Octopus Network allows $NEAR holders to do Resttaking for the application chain while pledging the NEAR public chain, providing security To obtain the pledge reward provided by the application chain. **Of course, the future belongs to a larger cross-chain application chain market, and Octopus Network can bring Restaking solutions to more Layer1 in the future.

**Then there are NEAR IBC Port and Adaptive IBC. ** Interoperability with the Cosmos ecosystem through the IBC protocol is one of the important plans in the early roadmap of the Octopus Network. As an important part of endowing the application chain with interoperability, it is gradually being implemented.

**NEAR IBC Port’s goal is to become the “cross-chain port” of NEAR ecology. **IBC agreement has opened up the Cosmos cross-chain ecology, which is recognized as a high-quality project and has a good community technology atmosphere. EVM blockchains such as Avalanche, etc., these ecosystems currently have the largest developer and user groups in the encryption field.

It is reported that Octopus Network has been developing Substrate IBC since 2020. It is the first team in the world to implement IBC on a non-Cosmos blockchain. **Adaptive IBC, which is being actively developed by the core team of Octopus Network, is a unique technology launched by it. Non-Cosmos blockchains (such as NEAR) are also able to verify cross-chain messages from Cosmos blockchains. **

**What does Restaking of Octopus Network 2.0 bring? **

As the second largest player following Restaking after Eigenlayer, through the “Octupus 2.0” strategy, we seem to be able to see a future sustainable and open Web3.0 infrastructure solution depicted by Octopus Network. Eigenlayer also has its own unique advantages: a. Share continuous development and research experience in the direction of security There are only a handful of projects that have deeply cultivated “shared security” in the encryption field and put it into practice. Octopus Network’s continuous development and research experience in this direction has laid a solid foundation for the seamless switching of Restaking in the security leasing market. b. High-speed and low-cost based on NEAR network infrastructure Standing on the excellent scalability solution of the NEAR blockchain, the Octopus Network was able to break through the bottleneck of blockchain scalability and provide better and safer shared security services. At the same time, it also gained the technology and ecology of the NEAR community There is a steady stream of support on various resources. c. Join the IBC family and face a broader cross-chain ecological market Perhaps Octopus Network was not limited to the NEAR blockchain at the beginning of its establishment, but chose to join the IBC big ecological family at the same time, endowing the application chain with cross-chain capabilities and obtaining various resources brought by the IBC big ecology. More importantly, , due to the extremely open development policy of Cosmos, the IBC community has become one of the largest open cross-chain ecosystems. Through NEAR IBC Port and Adaptive IBC, we will deeply enter and face the cross-chain ecological market, the sea of stars in the future. At present, the largest “island” in the cross-chain ecology is the Ethereum ecology. In the future, through cross-chain composability (one of the directions strongly advocated by the NEAR community), the Octopus network can also be expanded to the Ethereum ecology, such as introducing Eigenlayer Restaking as The source of security, strong alliances, providing shared security services for various application chains, etc. **Generally speaking, compared with the Restaking shared security service provided by Eigenlayer, a new player focusing on the Ethereum ecosystem, Octopus Network has a certain first-mover advantage in the exploration of shared security. High speed brings better performance experience and lower cost to the security rental market platform. **

Of course**, Eigenlayer focuses on the Ethereum ecology, while Octopus Network focuses on the NEAR ecology while facing the IBC cross-chain ecology. The two focus on different aspects**. Octopus Network and Eigenlayer cooperate to provide better application chain sharing security services , they all have a bright future.

Restaking is a double-edged sword, if you use it correctly, you will have a bright future

On May 21, Vitalik published an article “Don’t overload Ethereum’s consensus”, saying that the idea of using Ethereum validators or even Ethereum social consensus for other purposes may have high systemic risks and should be blocked and resisted. Vitalik cited ideas such as “ultimate oracle”, “Restaking” and “L1-driven L2 project recovery”, and raised some doubts about these actions. ** Among them, the doubts about “Restaking” are mainly summarized as follows:**

(1) The incentives obtained by validators are no longer consistent with Ethereum itself, and will be affected by other protocols.

(2) Validators may be penalized for errors or attacks caused by other protocol rules and threaten the security of Ethereum.

(3) Validators may be forced to participate in the governance or community consensus of other protocols, and be induced or coerced to serve other protocols, thus affecting the stability and fairness of Ethereum.

**Subsequently, the founder of EigenLayer soon responded to Vitalik’s point of view in this article, **recognizing the possible risks that Vitalik may bring to the bad use cases of Restaking, and believes that this is consistent with the concept advocated by EigenLayer. Sreeram Kannan, founder of EigenLayer, believes that EigenLayer’s Restaking model can reduce systemic risks and promote the ecology of Ethereum:

(1) EigenLayer has a transparent and auditable market, allowing verifiers and applications to trade risks and benefits freely. (2) EigenLayer will limit the number and scale of protocols to avoid excessive distraction of validators’ attention and resources. (3) EigenLayer is building an “alignment” culture and teams that follow best practices and standards to prevent errors or attacks. Obviously, for the Ethereum ecosystem, Restaking can increase the rate of return of mortgagers, participate in and promote the construction of the Ethereum ecosystem, but at the same time, some bad applications may bring risks. **Restaking is like a double-edged sword. How to make good use of it should be the focus of future exploration. ** Some of the views and ideas put forward by the founder of EigenLayer actually coincide with Octopus Network’s design model for the security rental market as early as the 1.0 era, such as an auditable market, restrictions on the number and scale of application chains that share security, and so on. Shared decentralized trust is not actually an innovation of Restaking, but comes from the exploration of shared security. Octopus Network 2.0 can quickly follow up Restaking, and a large part of the reason comes from its own accumulation. On this basis, continue to deepen the exploration of the reasonableness of Restaking Application and openness share the value of security.

summary

In the past two years, with the increasing expansion of solutions such as cross-chain and application chain, the bottleneck of blockchain technology has gradually disappeared, and the market has turned its attention to the accelerating Web3.0 era. **As the head project of the NEAR ecosystem, Octopus Network is combining its own advantages and insisting on bringing better infrastructure for Web3.0 applications serving the 1 billion users of the next-generation Internet on the basis of extensively absorbing excellent solutions. ** Octopus Network and EigenLayer have jointly promoted shared decentralized trust and further expanded the shared security market. What kind of new situation will the Restaking duo open up? We will wait and see.