Eigenlayer: A Remarkable Success in Ethereum Re-Staking

 

 Ethereum

Eigenlayer, a groundbreaking Ethereum re-staking protocol, stands as one of the few triumphs among startups from 2022. With a multibillion-dollar product and a well-executed go-to-market strategy, the project has positioned itself as a leader in its field.

Yet, Eigenlayer's story is the exception, not the norm. According to Lattice, only 1.5% of 2022 startups achieved what’s known as "Product Market Fit" (PMF), and just 12% secured follow-up funding.

Ethereum’s Dominance and CeFi Success

Ethereum remains the dominant layer-1 ecosystem, securing $1.4 billion in investments across 314 projects. Infrastructure and centralized finance (CeFi) ventures performed particularly well, with 80% of CeFi and 78% of infrastructure projects successfully launching on the mainnet. However, the gaming and metaverse sectors struggled, with high failure rates.

"Chasing trendy narratives can lead to losses," said Lattice co-founder Regan Bozman, referencing the $700 million poured into gaming startups, many of which failed to deliver.

Challenges for Other Layer-1s

While Bitcoin-based startups showed resilience, with all 18 funded projects still active, Solana’s ecosystem faced difficulties. Of the $350 million invested in 87 Solana projects, 26% didn’t make it to 2024, a downfall influenced by FTX's collapse and the decline in SOL’s value.

The Road Ahead for 2022 Startups

Lattice analysts caution that the 2022 startup cohort faces significant hurdles. With a flat market, minimal retail involvement, and increased competition at the seed stage, securing additional funding is tough. Many investors are now turning to sectors like decentralized physical infrastructure (DePIN), artificial intelligence (AI), and newer ecosystems such as Base and Monad.