Renzo

Staking

Renzo is a liquid restaking protocol that generates yield through its ezETH token.

Risk Rating
Watch Out
Protocol Code Quality
Protocol Maturity
Protocol Design
Summary
What we like
Renzo abstracts the complexity of restaking on EigenLayer for end users. Stakers do not have to worry about the active selection and management of operators and reward strategies.
What we like less
Renzo users are exposed to multiple layers of smart contract risk including the Eth2 staking contract, Renzo staking contracts, and EigenLayer restaking contracts. Additionally, the protocol is still heavily centralized as the team multisig requires only 1/2 signers.
What it means for you
Renzo enables you to easily get access to both staking and restaking rewards for ETH through its ezETH token, while remaining liquid.
Information
Exploit/Hacks
None
Info
Key Metrics
  • TVL: $2.9B (Rank #10)
  • TVL Ranking by Staking: #0
  • Blockchain: Ethereum, Arbitrum, Blast, Linea, Mode, Binance, Base
  • Chain TVL
    • Ethereum: $2.23B
    • Arbitrum: $258.83M
    • Blast: $173.74M
    • Linea: $132.55M
    • Mode: $130.06M
    • Others: $7.65M
Risk Assessment
Watch Out
Protocol Code Quality
  • Code reviewed by at least one experienced auditor; Halborn
  • Public team promotes accountability
  • No documented protocol hacks since launch
Protocol Maturity
  • Latest protocol version launched in 2023; maturity less than six months increases technical risk as smart contracts are less battle-tested
  • Top 5% by total value locked reduces risk
  • Multisig wallet controls protocol upgrades
  • Multisig requires only one signer (EOA wallet) which implies the protocol is highly centralized as control resides with just one admin
  • No timelock exists or no information documented, which mean a malicious actor could approve upgrades without any delay
  • No governance token and/or contracts are fully immutable
Protocol Design
  • No death spiral concerns
  • This protocol is susceptible to risks related to staking a token to secure a network, such as slashing events
Things to know about Renzo

What is Renzo

Renzo is a liquid derivative platform built on top of EigenLayer. It serves as the interface to the EigenLayer ecosystem by securing Actively Validated Services (AVS) and offering a higher yield than ETH staking alone. Users with LST or ETH can deposit on Renzo to mint an equivalent amount of ezETH. ezETH is a reward-bearing token, meaning all underlying rewards accrued are reflected in the price of ezETH. Depending on the restaking strategies deployed, unstaking will take a minimum of 7 days, mainly due to EigenLayer's unstaking requirements. The protocol currently has not yet enabled withdrawals for ezETH.

How Renzo makes money

Renzo passes 100% of any EigenLayer rewards to stakers. The protocol charges fees on staking that will be split between the treasury and Renzo node operators.

How you make money on Renzo

You can generate additional yield on top of your LSTs by depositing into Renzo to earn restaking rewards. The unlocked liquidity with ezETH can also be redeployed within several popular DeFi protocols to generate additional yield on top of the staking and restaking rewards.