**Binance Labs Backs EigenLayer’s Restaking Protocol Renzo**
Binance Labs, the venture capital division of Binance, has made an investment in Renzo, a Liquid Restaking Token (LRT) and Strategy Manager for EigenLayer, a restaking protocol for Ethereum. The announcement of Binance Labs’ investment coincides with a16z’s $100 million investment in EigenLayer, which has a Total Value Locked (TVL) of $7.8 billion as of February 22, 2024.
Binance Labs aims to enhance the Liquid Restaking space by supporting Renzo Protocol, which serves as the liquid restaking hub for EigenLayer. The technology of Renzo is pivotal for enabling seamless collaboration among different ecosystem players on EigenLayer. Binance Labs’ investment aligns with its objective to facilitate better collaboration for stakers, node operators, and Actively Validated Services (AVS) on Renzo within a framework of shared security and standard risk management.
Yi He, co-founder of Binance and head of Binance Labs, expressed excitement about Renzo’s growth in the Liquid Restaking sector, stating, “Renzo’s technology addresses the complexities of Liquid Restaking, enabling more users to participate in Liquid Restaking. At Binance Labs, we are always seeking innovative DeFi projects that introduce novel use cases, and we look forward to witnessing Renzo’s growth in the Liquid Restaking sector.”
Renzo offers native ETH restaking and supports ETH deposits, as well as LST tokens such as staked ETH (stETH) and wrapped Beacon ETH (wBETH). Users depositing an LST token or Ether on Renzo receive ezETH, a liquid restaking token representing the user’s restaked position. The LRT comprises all potential yields and incentives.
**FAQs**
1. **What is Renzo and EigenLayer?**
Renzo is a Liquid Restaking Token (LRT) and Strategy Manager for EigenLayer, which is an Ethereum restaking protocol with a TVL of $7.8 billion as of February 22, 2024.
2. **What is Binance Labs’ role in this investment?**
Binance Labs, the venture capital arm of Binance, has invested in Renzo to support the Liquid Restaking space and facilitate collaboration within the EigenLayer ecosystem.
3. **What is the significance of Renzo’s technology?**
Renzo’s technology simplifies the complexities of Liquid Restaking, making it more accessible for users, and aligns with Binance Labs’ focus on innovative DeFi projects.
4. **What tokens does Renzo support?**
Renzo supports native ETH restaking and tokens such as staked ETH (stETH) and wrapped Beacon ETH (wBETH).
5. **What are the benefits of using Renzo?**
Users depositing on Renzo receive ezETH, a liquid restaking token representing their restaked position, encapsulating all potential yields and incentives.