Renzo’s rise is even more legendary than Ethena

Author: Rui Source: X, @YeruiZhang

Today, let's talk about the new Renzo project on Binance:

As the best Restaking project for DEFI integration (cooperating with almost all new Layer2s and considering expanding business lines), and also the one with the highest community participation (all friends are involved), Renzo has become the second LRT to be listed on Binance. Renzo's rise is even more legendary than Ethena. In November last year, it was still a penniless team (at that time, Ethena had completed nearly 10 million US dollars in financing), and then in just half a year, it became the recognized Top2 in the LRT field. I think there are three reasons:

1. First of all, it hit the vent of Eigenlayer, which is needless to say the cornerstone of success.  

2. In the early stage, TVL is not rolled hard (if it is rolled hard, the deposit and incentive of STETH in the window period is the simplest solution), but the DEFI exit liquidity of EZETH is well done (although the liquidity collapsed a few days ago, it is very simple to enter and exit early) and L2 integration. The former can make users who deposit money feel at ease, and the latter can make TVL play a role in the later stage.  

3. In the mid-term, we got the investment of Binance, and the availability of the product was guaranteed under the situation of crazy increase of TVL.

4. After EL is put on the main network in the later stage, the contract will be tested for withdrawal as soon as possible to support different types of AVS.  

 The overall situation + stability + execution + uniting all people who can unite are the key to success.  

Some problems occurred in Renzo's airdrop a few days ago. In the first version of the rules, on the one hand, everyone felt that the total amount was too small and the points were over-issued too seriously. On the other hand, the claiming time was much later than the listing time on Binance. Finally, it was required to hold EZETH and have a minimum limit of anti-witch. But fortunately, the team made corresponding changes based on the feedback from the community. My understanding here is that on the one hand, because there are too many people participating in Renzo, everyone has their own strategy, and it is difficult to achieve absolute fairness (for example, the partiality to the minimum living security strategy will lose the interests of large investors, and there will always be people who will be hurt in such a large plate). On the other hand, in terms of total amount, because EL has not yet been launched, incentives must be prepared for the second quarter before and after EL is launched, so it is difficult to provide too high a ratio of tokens as this airdrop reward. Therefore, the final plan must have both gains and losses, and can only ensure relative fairness.  

The total amount of Renzo is 10 billion, and the fractions are close to 2 billion. If 1 cent is 0.12 US dollars, those who enter early will make money, and those who participate in YT later will be reversed. The corresponding price is 0.34 US dollars per coin, which is more in line with the current market situation. With the gradual launch of AVS (the rate of return will come from here), the issuance of EL and the launch of the team's new functional products, the price should rise to a certain extent.