Eigen Foundation proposes to adjust EIGEN token incentives to provide higher rewards for active users

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PANews December 20 News, the foundation behind the EigenLayer restaking protocol has proposed a governance change aimed at introducing a new incentive mechanism for its EIGEN token and adjusting the protocol’s reward strategy to prioritize efficient network activity and fee generation. Under this plan, a newly established Incentive Committee will be responsible for managing token issuance, prioritizing rewards for participants who ensure AVS security and expand the EigenCloud ecosystem. The proposal includes a fee model that redistributes AVS rewards and EigenCloud service revenue to EIGEN holders, which could exert deflationary pressure as the ecosystem develops.

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