Renzo Secures $3.2M to Propel Liquid Restaking on EigenLayer
In Brief
DeFi protocol Renzo has revealed a successful seed funding round of $3.2M, bolstered by the backing of key crypto-native investors.
DeFi protocol Renzo has announced a $3.2M seed funding round supported by prominent investors in the crypto space. These funds will be allocated to advance Renzo's liquid restaking protocol, which recently became operational on EigenLayer.
The seed round for Renzo was spearheaded by Maven11, with additional investment participation from Figment Capital, SevenX, IOSG, Paper Ventures, and others. This funding comes at a time when excitement around liquid restaking on EigenLayer is reaching unprecedented levels. Since the protocol's launch in late December, over 2,000 users have contributed $20M worth of ETH (9K ETH) into Renzo.
Discussing the funding achievement, Lucas Kozinski, a key contributor at Renzo, remarked: 'We're excited to welcome a diverse group of esteemed investors who resonate with our goal of democratizing access to restaking. Their support will empower us to establish Renzo as the premier on/off ramp for Ethereum restaking, capitalizing on the innovative features facilitated by EigenLayer.'
Balder Bomans, the Founder and Managing Partner at Maven11, emphasized: 'Renzo's commitment to security, risk management, and open finance represents, in our opinion, the optimal strategy for establishing a fluid and decentralized process for selecting Actively Validated Services (AVS) on EigenLayer. Renzo offers risk-adjusted methodologies and liquid representations while ensuring security for restakers.'
Renzo employs a blend of smart contracts and operator nodes to provide automated strategies for liquid restaking on EigenLayer. This setup simplifies liquidity management, enabling participants to engage in Ethereum staking while also identifying additional restaking chances. Renzo transforms ETH and Liquid Staking Tokens (LSTs) into restakeable assets, which can serve as collateral in DeFi to accrue compounding rewards.
To foster decentralization, Renzo's governance will be structured as a DAO that oversees operators, AVS restaking strategies, and protocol parameters. Future updates will roll out cross-chain restaking support, linkages with lending markets, liquidity aggregators, and vault solutions aimed at institutional on/off ramps.
Renzo makes use of ezETH, a position of restaked ETH that users can create by depositing LSTs or ETH into the platform’s smart contracts. This fully-collateralized ERC20 token can then be utilized across the DeFi landscape to earn rewards in ETH, USDC, and AVS tokens, akin to cbETH and rETH.
About Renzo
Renzo is a liquid restaking platform designed on EigenLayer that allows users to reap compounding rewards from ETH restaking. By leveraging automated liquid yield strategies, Renzo serves as the ideal on/off ramp for restaking, harnessing a mix of smart contracts and operator nodes to establish optimal risk/reward frameworks.
https://twitter.com/RenzoProtocol
https://www.renzoprotocol.com/
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