Renzo Raises $3.2M to Mainstream Liquid Restaking on EigenLayer
In Brief
DeFi protocol Renzo has announced a $3.2M seed round with the support of leading crypto native funds.
DeFi protocol Renzo has announced a $3.2M seed round with the support of leading crypto native funds. The funding will be used to help Renzo build out its liquid restaking protocol which recently went live on EigenLayer.
Maven11 led the Renzo seed round which also saw follow-on investments from Figment Capital, SevenX, IOSG and Paper Ventures among others. The raise arrives at a time when interest in liquid restaking on EigenLayer is at an all-time high. More than 2,000 users have deposited $20M of ETH (9K ETH) into Renzo since its protocol was deployed in late December.
Commenting on the funding round, Renzo Founding Contributor Lucas Kozinski said: “It’s a pleasure to welcome so many distinguished investors who share our vision of making restaking accessible to everyone. With their support we will make Renzo the most reliable on/off ramp for Ethereum restaking, building upon the new capabilities offered by EigenLayer.”
Balder Bomans, Founder and Managing Partner at Maven11, added: “Renzo’s focus on security, risk mitigation and open finance is, in our view, the best way to tackle a liquid and decentralized governance procedure for picking Actively Validated Services (AVS) on Eigenlayer. Renzo delivers risk-adjusted strategies and liquid representations while providing security to restakers.”
Renzo uses a combination of smart contracts and operator nodes to supply automated liquid restaking strategies on EigenLayer. This makes it easier to manage liquidity and capitalize on the ability to participate in Ethereum staking while exploring additional restaking opportunities. Renzo enables ETH and Liquid Staking Tokens (LSTs) to be restaked and utilized as DeFi collateral to earn compounding rewards.
To support decentralization, Renzo will be governed by a DAO that manages operators, AVS restaking strategies, and protocol parameters. Future releases will introduce support for cross-chain restaking, integration with lending markets, liquidity aggregators and vault products with a focus on institutional on/off ramps.
Renzo utilizes ezETH, a restaked ETH position that users are able to mint by depositing LSTs or ETH into the platform’s smart contracts. This fully-backed ERC20 token can in turn be used throughout the DeFi space to generate rewards in ETH, USDC and Actively Validated Services (AVS) tokens, similar to cbETH and rETH.
About Renzo
Renzo is a liquid restaking platform built on EigenLayer that enables users to earn compounding rewards from ETH restaking. Through automated liquid yield strategies, Renzo functions as the perfect on/off ramp for restaking, utilizing a combination of smart contracts and operator nodes to secure optimal risk/reward strategies.
https://twitter.com/RenzoProtocol
https://www.renzoprotocol.com/
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About The Author
Gregory, a digital nomad hailing from Poland, is not only a financial analyst but also a valuable contributor to various online magazines. With a wealth of experience in the financial industry, his insights and expertise have earned him recognition in numerous publications. Utilising his spare time effectively, Gregory is currently dedicated to writing a book about cryptocurrency and blockchain.
More articlesGregory, a digital nomad hailing from Poland, is not only a financial analyst but also a valuable contributor to various online magazines. With a wealth of experience in the financial industry, his insights and expertise have earned him recognition in numerous publications. Utilising his spare time effectively, Gregory is currently dedicated to writing a book about cryptocurrency and blockchain.