Hello there,
I am new to the concept of Eigenlayer and have been reading about the idea of restaking; where validators can leverage their staked assets for other purposes; such as securing new services or networks. The concept sounds promising, especially as a way to create new layers of security for decentralized services without needing entirely new sets of validators.
Although, I have some questions about the security implications of this model and would love to get some insights from the community.
When a validator restakes assets across multiple networks; how does Eigenlayer ensure that the validators behavior remains trustworthy across all networks? Are there additional slashing risks involved for validators who participate in multiple protocols?
For smaller or newer protocols that might not have significant value staked, how does restaking help enhance their security? Could there be a scenario where larger protocols dominate the restaking pool; making it harder for smaller ones to attract security from validators?
What kind of incentives are in place for validators to participate in restaking on Eigenlayer? Are the rewards proportional to the security risks; and how does Eigenlayer balance this?
Also, I have gone through this post; https://forum.eigenlayer.xyz/t/some-question-about-eigenlayer-mlops/ which definitely helped me out a lot.
In the long term; how does Eigenlayer plan to manage the scalability of the system; as more and more protocols might look to leverage restaking for security?
Thanks in advance for your help and assistance.