Eigenpie: Analysis of a Rising Star Project in the LRT Track

Eigenpie, as a new player in the Liquidity Staking (LRT) project, recently launched an attractive points activity. This activity offers significant earning opportunities for Total Value Locked (TVL) providers, making it one of the most appealing choices among current LRT projects.

Revenue Mechanism

Currently, users can deposit liquid staking tokens (LST) such as stETH into Eigenpie to obtain multiple rewards:

1. Eigenpie airdrop, corresponding to 10% of the total token supply.
2. Eigenlayer Points (after Eigenlayer opens deposits on February 5)
3. Eigenpie corresponds to 24% of the total IDO share, valued at 3M USD.
4. The base yield of stored LST (e.g., 7% APR of mETH)

It is worth noting that the points will provide a boost based on the total size of the user's fleet, with a maximum increase of up to two times. Therefore, choosing to participate in a larger fleet may bring more benefits.

Project Features

The uniqueness of Eigenpie lies in its Isolation Liquidity Staking Token (ILRT) mechanism. Each LST issues a corresponding token to isolate risk. This approach addresses the comprehensive risk issues that traditional LRT projects may face, allowing each LST to operate independently without being affected by potential problems of other tokens.

Although this mechanism somewhat restricts liquidity, it provides more possibilities for collaboration with LST project parties, especially in terms of incentivizing liquidity.

Development Prospects

Although Eigenpie entered the market relatively late, it fills an important market gap. Currently, many LSTs that have joined Eigenlayer are eager to participate in the LRT narrative, and Eigenpie provides them with an ideal solution.

In the future, Eigenpie plans to launch its token mstETH and others on decentralized exchanges (DEX), which will further increase liquidity and use cases. These initiatives will not only benefit Eigenpie itself but will also bring profits to other sub-projects under Magpie.

Expected Returns

The tokenomics model of Eigenpie is as follows:

• IDO: 40%
• Airdrop: 10%
• Incentive: 35%
• Magpie Reserve: 15%

This allocation method is similar to the FairLaunch model but tends to allocate the majority of the rights to TVL providers. Specifically, TVL providers will receive:

• 10% of total airdrop
• 60% of the IDO share (IDO accounts for 40% of the total, valued at 3M USD)

Approximately 34% of the tokens will be allocated to TVL providers, accounting for about 70% of the initial circulation.

Considering the current popularity of the LRT market, the potential returns of Eigenpie are quite substantial. If we refer to the valuations of other LRT projects, the total profits for TVL providers could reach a significantly high level.

Conclusion

Eigenpie demonstrates unique advantages in the LRT track:

1. The innovative ILRT mechanism isolates the risks of each LST.
2. Make full use of the Magpie ecosystem resources
3. A transparent token distribution mechanism, with most of the benefits allocated to TVL providers.

For investors interested in participating in the LRT project, Eigenpie is undoubtedly a new option worth paying attention to.