The collaboration between ether.fi and RedStone Oracles, endorsed by the EigenLayer protocol, has formalized a significant $500 million deal. This investment aims to improve security and data exchange across multiple blockchains, a strategic step for both participants in the cryptocurrency market.
As stipulated by the agreement, ether.fi will commit $500 million to secure RedStone's data oracles. These oracles are essential to enable efficient communication between different blockchains and external data sources. The initiative aims to strengthen resilience against operational disruptions and crypto-economic threats in the ecosystem blockchain.
In early April, EigenLayer launched in a preliminary version on the Ethereum mainnet, attracting over $12 billion in user deposits, with a substantial contribution coming from intermediaries like ether.fi. The company, through more than 20.000 node operators, will manage RedStone services using its native liquid restake token, eETH, to reinforce data protection.
Honored to be able to support the @redstone_defi team! We've been working with them since the very beginning and wouldn't be where we are today without their help.
As always, rewards will be passed on to $eETH stakers 👍 https://t.co/aCc6Nly2p0
— ether.fi (@ether_fi) April 12, 2024
In March, ether.fi had already made a similar commitment with Omni, focusing on improving communication between layer 2 rollup technologies, with a contribution of US$600 million. With a total of $3,8 billion invested in EigenLayer, ether.fi plays a crucial role in the collective security of the system.
Although the current version of EigenLayer on the Ethereum network has accumulated over $15 billion in deposits, it is still missing some basic functionality. The only service authorized to operate so far is EigenDA, a data availability solution developed by Eigen Labs, which is also behind EigenLayer.
Data oracles like those provided by RedStone Oracles are a key component for secure and effective integration between diverse blockchain platforms, reinforcing system robustness against vulnerabilities.
