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Binance Labs Invests in Renzo as A16z Commits $100M to EigenLayer

by BSC News

February 22, 2024

chain

Binance invests an undisclosed amount in Renzo while Andreessen Horowitz backs Eigenlayer with $100 million.

Binance Backs Renzo

Binance Labs, the venture capital and incubation arm of Binance, has invested an undisclosed sum into Renzo, an Ethereum liquid restaking protocol based on EigenLayer technology.

Renzo's recent success builds upon its recent seed funding round, which saw an investment of $3.2 million, valuing the startup at $25 million. Lucas Kozinski, a founding contributor of Renzo, said Binance Labs' investment is similar to the earlier seed round, which included equity and token warrants.

Renzo emerges as Binance Labs' second notable venture into Ethereum's restaking domain. It operates via Ethereum smart contracts, facilitating collaboration between stakers, node operators, and Actively Validated Services (AVSs). 

A16z's Monumental Investment in EigenLayer

In parallel, the venture capital firm Andreessen Horowitz (a16z) has backed EigenLayer with a $100 million investment. This significant funding round reportedly saw a16z as the sole investor, as detailed in a recent Bloomberg report

EigenLayer had previously concluded a $50 million funding round in March, led by Blockchain Capital. Founded in 2021, EigenLayer has emerged as Ethereum’s foremost restaking protocol by total value locked (TVL). 

The protocol empowers validators and stakers to restake liquid staking derivative tokens like Lido Staked ETH and RocketPool’s rETH, fortifying and validating diverse networks. Moreover, these assets are deployable in various decentralized finance (DeFi) protocols, enabling users to secure additional yield.

EigenLayer presently stands as the third-largest protocol on Ethereum, boasting a TVL of $7.806 billion.

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