Intro to Slashing on EigenLayer: Stakers' Edition
Slashing arrives on EigenLayer mainnet April 17th. Learn how it impacts Stakers through opt-in requirements, allocation timelines, and monitoring responsibilities—plus why this feature completion enhances the risk/reward ecosystem for delegators.
In December, Eigen Labs announced Slashing on Testnet. The launch of slashing on mainnet is a major milestone for the EigenLayer protocol.
As we continue to progress towards slashing on mainnet, coming April 17th, we want users to be prepared for this switch. This guidebook is for Stakers using slashing on mainnet.
Stakers and slashing on mainnet:
Here's what stakers need to know about the upcoming slashing implementation:
Opt-in Requirement for Slashing
Slashing will only affect Operators and their delegated Stakers if the Operator specifically opts into a slashable Operator Set created by an AVS. This means that Stakers will not automatically be subject to slashing when the feature is released.
Allocation Timeline and Safety Delay
On EigenLayer, Operators opt-in to slashing with an initial allocation to an AVS’s Operator Set, which takes ~17.5 days. This is to give Stakers time to adjust or withdraw funds. After this initial allocation, Operators have control over whether allocations are instant or have a Staker safety delay. Stakers should check our app for their Operator's allocation settings or communicate with them directly. More details on slashable stake allocation here.
Gradual Adoption Process
We do not expect all AVSs to adopt slashing immediately or all at once. This process will likely unfold over time as AVSs gradually implement it into the protocol.
Monitoring Operator Allocations
Stakers should monitor their Operators’ allocations to AVSs and slashable Operator Sets. As an Operator allocates to new AVSs and their slashable stake changes, this will impact all of the Operator’s delegated Stakers
Why should Stakers be excited about slashing on mainnet?
With the release of slashing on mainnet, the EigenLayer protocol will be feature complete, and AVSs will be able to reward or punish Operators and Stakers based on their service’s needs. Stakers will be able to participate by delegating to Operators that opt in to AVSs that have enabled slashing. Stakers may observe the risk/reward decisions made by Operators in their selection of AVSs and Operator Sets and any corresponding exposure to slashing, and may use this insight to determine the Operator to which they should delegate.
Matt Paik from LayerZero further explains the benefits of staking and slashing and how risk pricing comes into play. You can watch the full podcast on slashing here.
Stay Tuned
Stakers can learn more by joining the Discord and Forum. Also, watch our full podcast where we discuss slashing and its impacts on the EigenLayer ecosystem here.