What is Eigenpie (EGP)?

Quick Facts

• Type: Liquid restaking SubDAO built on EigenLayer
• Parent Protocol: Magpie (multi-chain yield protocol)
• Native Token: EGP — governance and revenue-sharing
• Chain: Arbitrum
• Core Output: Isolated Liquid Restaked Tokens (LRTs)
• Launch Year: 2023; IDO completed in 2024
• No lock-up period required for restaked assets

Introduction

Eigenpie is a liquid restaking protocol and SubDAO created by Magpie, designed to help Ethereum holders extract more value from their staked assets. By integrating deeply with EigenLayer, it enables users to put their ETH and Ethereum Liquid Staking Tokens (LSTs) to work twice — earning both standard staking rewards and additional EigenLayer incentives simultaneously.

The platform sits at the intersection of liquid staking and restaking, two of the fastest-growing segments in DeFi.

History & Background

Eigenpie was developed by Magpie XYZ, a multi-chain yield protocol known for building SubDAOs around major DeFi protocols. Launched in 2023, Eigenpie was formed specifically to leverage EigenLayer's restaking infrastructure on Ethereum.

The project completed its Initial DEX Offering (IDO) in 2024, distributing EGP tokens across multiple platforms. Within hours of its pre-deposit window opening, tens of millions in LSTs flowed into the protocol, signalling strong early demand.

How Eigenpie Works

At its core, Eigenpie converts users' Liquid Staking Tokens (like stETH or rETH) into Isolated Liquid Restaked Tokens (LRTs) — one unique LRT per LST type. This 'isolated' model is a key design choice: by keeping each LST separate rather than pooling them, the protocol reduces the risk of one asset's vulnerabilities affecting the others.

Users deposit their LSTs, receive the corresponding LRT, and continue earning DeFi yields. Simultaneously, their underlying assets validate the Ethereum network and additional services through EigenLayer. No lock-up period is required, keeping assets flexible and composable.

Tokenomics

The EGP token is the governance and revenue-sharing token of the Eigenpie ecosystem. Holders can participate in decentralized decision-making and earn a share of protocol revenue.

Token distribution was structured as follows: IDO (40%), Community Incentives (35%), Magpie Treasury (15%), and Early Supporters Airdrop (10%). A points-based system rewards active participants — users earn Eigenpie Points by depositing LSTs or delegating EIGEN tokens, which can then be converted into EGP allocations.

Ecosystem & Use Cases

• Restaking LSTs: Deposit stETH, rETH, and other LSTs to receive LRTs and earn layered rewards.
• Governance: EGP holders vote on protocol parameters and treasury decisions.
• Revenue Sharing: Token holders receive a portion of platform-generated fees.
• DeFi Composability: LRTs are tradable and transferable, enabling use in broader DeFi strategies.
• EIGEN Delegation: Users can delegate EIGEN tokens to Eigenpie node operators to accumulate additional points.

Team, Governance & Community

Eigenpie operates as a SubDAO within the Magpie ecosystem, inheriting Magpie's broader governance framework while maintaining its own community and EGP-based voting. The team behind Magpie has built multiple SubDAOs across DeFi protocols, bringing experience in veTokenomics and yield optimization.

The protocol has undergone security audits and employs multi-signature mechanisms in its smart contracts for added safety.

Advantages

• Dual yield: Earn staking and EigenLayer rewards at the same time.
• No lock-up: Assets remain liquid and usable in DeFi.
• Isolated risk model: Each LST gets its own LRT, limiting cross-asset contagion.
• Points rewards: Active users are incentivized via a transparent points-to-token system.
• Composable LRTs: Issued tokens are tradable and integrate with other DeFi protocols.

Risks & Challenges

• Smart contract risk: Complex multi-layer contracts increase the attack surface.
• EigenLayer dependency: Protocol performance is tied to EigenLayer's stability and adoption.
• LST-specific risks: Individual LSTs carry their own slashing and de-peg risks.
• Governance concentration: Early token distribution could lead to centralized voting power.
• Market adoption: LRT liquidity depends on ecosystem growth and DeFi integrations.

Long-Term Vision

Eigenpie aims to become a leading liquid restaking layer on top of EigenLayer, expanding its range of supported LSTs and deepening integrations with major DeFi protocols. As EigenLayer's ecosystem of Actively Validated Services (AVSs) grows, Eigenpie is positioned to channel more restaking capital toward securing new on-chain infrastructure, creating a compounding yield opportunity for its users.