Why LAT?

Users can directly support the protocols they find compelling, rather than having their staking contributions bundled for general validation and rewarded inefficiently with yields from less attractive projects. This approach allows users to retain direct risk exposure to their chosen AVS, enabling them to restake according to their individual risk and return preferences.

In addition to the yield or rewards generated by the AVS, LAT holders also receive EigenLayer rewards in the form of EIGEN tokens and EigenExplorer rewards. These rewards are auto-compounded for further yield optimization. See more about rewards here.

With renewed access to liquidity, EigenExplorer users can utilize LATs across various DeFi protocols. The token can be traded, invested, and used as collateral like any other cryptocurrency, in addition to its AVS-specific functions.

The direct re(staking) process eliminates the need for users to worry about operator selection in the traditional restaking workflow. Once users choose their desired AVS, they simply click the stake button, and they are good to go.

Due to the direct risk and return exposure to a specific AVS, LAT can serve as a foundational restaking asset in the DeFi ecosystem, enabling the creation of more advanced restaking strategies or products. With EigenExplorer’s integrated dashboard, users can create and monitor a real-time restaking portfolio, managing risk exposure all in one place.