Jito to introduce restaking on Solana

With the latest code release from the Jito Foundation, developers are one step closer to enabling restaking in Solana.

On July 25, the Jito protocol released the first codebase to unlock staking and resttaking platforms on Solana (SOL). While the code has not been edited, it could potentially enable any Solana native protocol to secure decentralized applications with any cryptocurrency.

This move will also be extended to actively verified services, referred to as AVS.

1. Announcing Jito Restaking: The Next Generation Infrastructure Platform

Jito Foundation is excited to release the code for Jito Restaking, a hybrid staking, restaking, and LRT module. 🤝

What is this? Let’s get started. ↓ pic.twitter.com/7nDaZdnZIn

— Jito (@jito_sol) July 25, 2024

Restaking began last year when protocols like Ethereum’s EigenLayer (EIGEN) allowed users and protocols to distribute staked digital assets across multiple networks. EigenLayer effectively advanced the utility of staking and economic security beyond the boundaries of blockchains or dapps where users initially locked up their cryptocurrencies.

Jito has embraced this idea but moved away from the restrictions of EigenLayer. While EigenLayer only supports Ether (ETH), EIGEN, and ETH derivatives, Jito hopes to include a wider range of assets.

“Jito Restaking is fundamentally multi-asset and has the capacity to leverage staked underlying assets such as JitoSOL, other liquid staking tokens, or any other SPL token,” the blog post reads.

The concept of re-betting has been floating around Solana’s ecosystem for months, with multiple teams and developer groups reportedly working on the mechanism.

At press time, Jito appears to be leading the pack with its re-staking code. There’s no sign of Jito implementing its idea on-chain yet, but the release of the code suggests it could be soon. Jito’s native token, JTO, surged 8.5% in the 24 hours following the news, while the broader crypto market was hit by a selloff.

JTO 24-hour price chart on July 25 | Source: crypto.news