Helix Labs is a decentralized finance platform focused on unlocking the full value of staked assets across blockchains. Its flagship product, EigenFi, offers secure, multi-chain liquidity vaults and enables the issuance of Liquid Restaked Tokens (LRTs), letting users earn staking rewards while engaging in DeFi. By leveraging technologies like ICP’s Chain Key, Helix ensures trustless cross-chain interactions and solves liquidity fragmentation, creating a unified, capital-efficient foundation for the future of cross-chain staking and decentralized finance.

What is Helix Labs?

Helix Labs is a decentralized financial innovation lab focused on maximizing the economic value of staked assets across numerous blockchain ecosystems. EigenFi, Helix Labs’ flagship product, offers safe, multi-chain liquidity vaults, allowing users to maximize yield by restaking native assets to secure Actively Validated Services (AVS) on Ethereum. EigenFi enables the smooth issuance of Liquid Restaked Tokens (LRTs), allowing users to participate in various DeFi activities while maintaining staking incentives from their original chains. Helix Labs uses cutting-edge technology, like ICP’s Chain Key, to provide secure, trustless cross-chain interactions, resulting in a uniform, efficient, and decentralized liquidity layer for the future of DeFi.

Staking secures billions of dollars over many L1 blockchains while preserving network security and consensus. However, the existing staking landscape is marred by capital inefficiency and liquidity fragmentation, reducing the economic utility of staked assets. Token holders must choose between network security and liquidity. Staked assets are trapped within their chains, limiting their potential to earn extra income or engage in DeFi activities. While liquid staking methods have attempted to solve these issues, their reliance on wrapped assets, centralized bridges, and limited cross-chain capabilities creates security risks and liquidity inefficiencies. Furthermore, AVS is primarily limited to Ethereum, prohibiting other L1-staked assets from contributing to decentralized security models. The result is a fragmented ecosystem where stakers miss out on yield opportunities, AVS lacks diverse economic security, and cross-chain capital movement remains inefficient.

Despite the growing usage of staking and restaking, some inefficiencies remain, including low APYs and opportunity costs, as many L1 staking models provide poor yields compared to alternative DeFi yield schemes. ADA staking gives 1.78% APY, while ICP and BNB staking yield 7% to 12%, typically lower than stablecoin lending rates. Each blockchain has its staking structure, resulting in fragmentation and hindering seamless liquidity transfer between networks (L1). This isolation hinders cross-chain economic engagement and capital efficiency. EigenLayer pioneered restaking for Ethereum. However, additional L1 staking assets (stADA, stICP, etc.) are currently prohibited, limiting the security model’s diversity and resilience.

Source: Helix Lab

Background of Helix Labs

Helix Labs was founded in 2023 and is headquartered in Road Town, British Virgin Islands. The Helix Labs team is made up of people with technical expertise in the DeFi space, led by CEO Sneh Bhatt, who brings a wealth of experience from his background in systems and nuclear engineering, as well as his roles as founder of Monarch Wallet and whitepaper author and tech advisor for Trust Wallet. The company has created solutions focused on maximizing return potential for non-Ethereum Layer 1 (L1) asset holders via restaking. In September 2024, Helix Labs raised $2 million in pre-seed fundraising, boosting the company valuation to $40 million. Tribe Capital, EMURGO Ventures, Taureon Capital, LD Capital, and Double Peak Group spearheaded the fundraising round. This investment intends to release around $12 billion in liquidity in the Cardano ecosystem by allowing ADA holders to stake their tokens while still having access to DeFi opportunities. Helix Labs has launched three products, namely, Helix Vault, which helps staked assets to create yield through liquid restaking; UniRollup L2, a modular rollup (Move-based) that supports DeFi use cases and natively supports restaked assets; and OmniVM AVS, which aims to provide a decentralized virtual machine layer for L3 networks.

Source: Helix Lab

Helix EigenFi Protocol

Helix unveils EigenFi, a cross-chain liquidity vault designed to overcome the issues associated with the growing use of staking and restaking. EigenFi Vaults allow L1 token holders to increase their yield by earning additional rewards for AVS participation while keeping their native staking benefits. Restaked assets (LRTs) become liquid and interoperable, enabling users to utilize DeFi schemes while maintaining security commitments. Chain Fusion enables secure cross-chain staking without centralized bridges or wrapped assets. EigenFi integrates innovative technologies to increase involvement in restaking, DeFi, and AVS security models, creating new economic prospects for stakeholders and network validators. EigenFi integrates innovative technologies to increase participation in restaking, DeFi, and AVS security models, creating new economic prospects for stakeholders and network validators.

Architecture

Source: Helix Lab Docs

Helix Labs is a blockchain technology startup that created the EigenFi Protocol to improve liquidity and yield prospects across diverse blockchain ecosystems. Helix Labs collaborated with Avail to create modular networks incorporating Avail’s data availability technology. This cooperation intends to help developers build scalable, partner-powered chains with improved data availability and integrity, solving scalability issues in the Web3 domain. AvailDA is a Web3 infrastructure layer designed to grow and interoperate while minimizing trust. It serves as the core layer for next-generation apps. AvailDA’s three-phase strategy consists of the Unification Layer, Nexus, and Fusion Security. The Unification Layer accelerates cross-chain composability by enabling smooth interaction across execution layers. By utilizing AvailDA, Helix Labs moves one step closer to assisting new execution environments in overcoming the “cold start” problem. NodeKit is a project that creates a shared sequencer L1 (Layer 1) solution. It focuses on improving diverse rollup solutions’ robustness, performance, availability, and interoperability.

Core Products

Helix Labs is a restaking asset liquidity protocol that uses liquidity abstraction and the OmniVM technology stack to improve yield potential for non-Ethereum L1 asset holders while supporting future MoveVM rollups. Helix Labs increases liquidity in DeFi by improving token usefulness, boosting EigenFi capacity, and offering liquidity as a service. Helix Labs is working on a revolutionary protocol that maximizes yield-earning prospects for non-ETH L1 asset holders through restaking while supporting a MoveVM rollup future via liquidity abstraction and its OmniVM stack. The company’s novel methodology seeks to increase token utility, extend EigenFi capacity, and offer liquidity as a service to growing L3 ecosystems. Helix’s EigenFi Protocol is comprised of three main products, which include Helix Vault, Helix Unirollup, and Helix OmniVM AVS.

Helix Vault

Helix Vault is a multi-chain liquid staking system that allows users to stake assets while maintaining liquidity using Liquid Staking Tokens (LSTs). Helix Vault is intended to tokenize trader-staked assets across several chains, much like Lido does for ETH, but for any Layer-1. Traders stake their tokens (e.g., ETH, SOL, or others, depending on chain support). Instead of locking them up, they receive LSTs (Liquid Staking Tokens) that may be traded, used in DeFi, and earn staking incentives. Helix offers a twist: traders can receive additional incentives through Helix-native awards or higher APYs.

Helix Unirollup

Helix Unirollup is a layer 2 that enables horizontal and vertical liquidity flows across the modular blockchain infrastructure. Helix Unirollup is a Layer-2 (or perhaps L3) rollup designed to move liquidity across ecosystems—up/down the stack and sideways. Helix Unirollup can handle both horizontal and vertical liquidity flows. Traders can also use the modular blockchain stack, which separates execution, data availability, and consensus (such as Celestia and Avail). Helix Unirollup bridges the gap between segregated blockchains and rollups, allowing protocols to interact with liquidity wherever they exist without disrupting the user experience.

Helix OmniVM

Helix OmniVM AVS offers liquidity streaming to L2s and L3s, including altVMs and parallelized EVMs. It is an Actively Validated Service (AVS) built on EigenLayer intended to provide liquidity to ecosystems that require it, such as altVMs, L2s, parallelized EVMs, etc. The Helix OmniVM AVS automatically directs liquidity to supported virtual machines and rollups using restaked assets and pooled resources. It is also compatible with MoveVMs, Cosmos SDK chains, Solana-style parallel execution environments, and other technologies. The Helix OmniVM AVS is vital since most altVMs or new Layer-2s struggle with bootstrapping liquidity. However, the OmniVM AVS provides a plug-and-play solution that allows them to focus on execution logic while tapping into EigenFi liquidity flow.

Liquid Restaking

Restaking refers to staking an LST (such as stETH) on a different network or protocol. This allows users to optimize rewards beyond native staking returns while also improving the network’s security, to which they contribute. Restaking increases flexibility, liquidity, and capital efficiency by extending trust to new protocols. It enables consumers to increase their yield and actively engage in the emerging blockchain landscape, all while preserving control over their assets.

Liquid Restaking Platforms (LSPs) are protocols that handle this on your behalf. In exchange for your stake, they deposit user money in restaking platforms and hand over a representative token. These are called Liquid Restaking Tokens (LRTs). Liquid restaking platforms manage the technical aspects, such as installing operator software and deciding which network services to support. Liquid Restaking Tokens (LRTs) allow users to enter and exit restaking positions easily. Additionally, these tokens enable users to increase their leverage by reinvesting in decentralized finance systems. Essentially, these services replicate the features of more traditional liquid staking platforms like Lido.

Liquid Staking and Restaking Tokens

Liquid staking allows users to stake cryptocurrencies and receive a token representing the staked assets. These tokens are also known as Liquid Staking Tokens (LSTs). Liquid Restaked Tokens (LRTs) are tokenized representations of restaked assets (staked LSTs) that use middleware protocols like EigenLayer. Popular LRTs on the market include

• SWETH by Swell on Ethereum
• EZETH by Renzo on Ethereum
• WeETH by Ether.fi on Ethereum.
• Puffer Finance offers pufETH on Ethereum.

LST can be used and sold like any other cryptocurrency, giving traders the liquidity that traditional staking lacks. Liquid staking tokens represent staked assets, allowing traders to reap the benefits of staking, such as earning incentives and contributing to network security, while having the freedom to use or trade their tokens. This dual advantage is critical in a fast-changing market where liquidity can be as precious as staking rewards. On the other hand, liquid restaking adds to liquid staking by allowing users to repeatedly stake their assets (or staking derivatives) in different protocols. It allows users to go beyond traditional staking for enhanced yields. This means staking the tokens from the initial staking process (like LSTs) to earn additional rewards or benefits.

Traditional staking requires traders to lock up their assets, rendering them inaccessible for a predetermined time. On the other hand, liquid staking provides liquidity by creating tokens representing the staked assets, which traders may freely sell or utilize. For example, traders can stake their ETH to obtain staked ETH (stETH), which they can trade or use in other DeFi protocols. Staking enables the flexibility of free trade and the use of staked assets, while restaking allows for reward compounding. Restaking will help traders earn more rewards by staking LSTs, whereas liquid staking provides return chances while retaining liquidity. Both types of staking are distinct in their functionality, allowing users to earn rewards and yield based on which form they utilize. Liquid staking will enable traders to engage in other yield-generating activities while getting staking incentives. Double-dipping can significantly increase traders’ overall results. However, they can use their LSTs to generate more money by participating in liquidity pools, lending platforms, or other DeFi protocols. Restaking allows traders to receive additional benefits from the first staking earnings.

The EigenLayer Ecosystem

What is EigenLayer?

EigenLayer pioneered retaking as a novel primitive in cryptoeconomic security. EigenLayer enables restaking using a collaborative and innovative way that capitalizes on Ethereum’s existing stakeholders and node operators. EigenLayer promotes collaboration among inventors, Ethereum stakeholders, and node operators. Even partners who do not naturally trust each other can collaborate efficiently. EigenLayer facilitates the use of Ethereum’s “decentralized trust” module. This module fosters open innovation by removing the requirement for protocols to create validator sets. Instead, they have seamless access to Ethereum’s computing and financial resources. EigenLayer operators run AVS software and serve as AVS nodes. These nodes validate AVSs, which increases network security and correctness.

Ecosystem

EigenLayer’s ecosystem consists of four pillars:

• Actively Validated Services (AVS): Actively Validated Services (AVS) are decentralized services that use Ethereum’s security. They support a variety of networks, such as sidechains and data layers. EigenLayer uses Ethereum’s pooled resources to improve security for middleware services, block construction, and transaction ordering.
• $ETH Stakers: Ethereum stakers are critical to the security of numerous networks within EigenLayer. They accomplish this by restaking their $ETH, essentially leveraging their existing wealth to sustain several networks via smart contracts. While this technique increases yields, it also presents the danger of slashing if stakeholders do not meet the conditions imposed by the services they choose to support.
• Node Operators: EigenLayer uses node operators to offer computational resources for crucial functions. These services include decentralized apps (DApps), Oracles, and Bridges. Node operators can choose which services to work for and apply AVS recommendations.
• EigenLayer Protocol: At the heart of EigenLayer is its protocol, which is developed using Ethereum smart contracts. These contracts enable trustless collaboration among stakeholders, node operators, and services. Users can recover assets, assign them to node operators, and engage with on-chain service modules. Each service module has set conditions for rewards and slashes, which ensure smooth interactions across the ecosystem.

EigenFi Vaults

Ethereum Vault

To use the Ethereum Vault, traders need a Web3-compatible wallet like MetaMask to store funds and interact with EigenFi dApps. Additionally, the wallet must have enough ETH to cover transaction costs such as deposits, withdrawals, and smart contract interactions. Gas fees fluctuate according to network activity, so it’s necessary to keep some additional native tokens handy.

How to Use the EigenFi Vault

• Launch EigenFi dApp: Go to the EigenFi Ethereum Vault website and launch the decentralized app (dApp). While traders can use its functions without connecting, full access requires linking their wallet.

• Connect Wallet: To use EigenFi’s primary services (deposit, earn, and withdraw), traders must authenticate by connecting their wallets.

  • Click the Connect Wallet button.
  • Choose a wallet provider (MetaMask, Rainbow, etc.).
  • Authenticate the communication by signing it in their wallet.

• Deposit Funds: Once the wallet is connected, traders will have access to crucial services like

  • Deposit
  • Earn
  • Withdraw

• Discover Other Chains: EigenFi Vault now supports Ethereum, Movement, BNB Chain, Cardano, and Bitlayer. The following testnet funds are available for deposits:

  • stETH
  • stBTC
  • tADA
  • stBNB

Movement - Vault

Before using the Movement Vault, traders must ensure they have a Web3-compatible wallet, such as Petra, to store funds and interact with the EigenFi dApps. The wallet must also have enough MOVE to cover transaction costs, such as deposits, withdrawals, and smart contract interactions.

How to Configure the Movement Wallet

For Petra wallet users:

• Install Petra Wallet.
• Visit the Network.

• Add a custom network.

• Add these combinations.
  • Name: Movement Bardock Testnet.
  • The node URL is https://testnet.bardock.movementnetwork.xyz/v1.
  • The faucet URL is https://faucet.testnet.bardock.movementnetwork.xyz.
  • Index URL: https://indexer.testnet.movementnetwork.xyz.

For Nightly Wallet Users:

• Install Nightly Wallet.
• Click on the customized network.

• Add Movement’s Bardock Testnet RPC URL: Copy and paste this RPC URL, then save it. https://testnet.bardock.movementnetwork.xyz/v1

How To Use Movement Vault

• Launch the Movement Vault dapp: Traders must go to the EigenFi Movement - Vault website and launch the decentralized app (dApp). While traders can use its functions without connecting, full access needs linking their wallet.

• Connect Wallet: To use EigenFi’s primary services (deposit, earn, and withdraw), traders must authenticate by connecting their wallets.

  • Click the Connect Wallet button.
  • Choose a wallet provider (Petra, Nightly, etc.).
  • Authenticate the communication by signing it in the wallet.

• Deposit Funds: Once the wallet is connected, traders will have access to crucial services like:

  • Deposit
  • Earn
  • Withdraw

• Discover Other Chains: EigenFi Vault now supports Ethereum, Movement, BNB Chain, Cardano, and Bitlayer. The following testnet funds are available for deposits:

  • stETH
  • stBTC
  • tADA
  • stBNB

Cardano—Vault

To use the Cardano Vault, traders must first have the Cardano Wallet. This Web3-compatible wallet, similar to Nami, is essential to store funds and interact with the Cardano dApp. The wallet must have enough ADA to pay transaction fees for deposits, withdrawals, and smart contract engagements. To use the Cardano Vault, traders must go to the official EigenFi Cardano Vault website and use the decentralized program (dApp). While traders can explore its features without connecting, full access requires them to link their wallets.

BNB Chain - Vault

To use the BNB Chain Vault, traders ensure they have enough funds and engage with EigenFi dApps; they will need a Web3-compatible wallet like MetaMask. The possessed wallet must contain enough BNB to pay transaction fees, such as deposits, withdrawals, and smart contract interactions. To use the BNB Vault, traders must go to the official EigenFi BNB Vault website and use the decentralized program (dApp). While traders can explore its features without connecting, full access requires them to link their wallets.

Bitlayer - Vault

To use the Bitlayer Vault, traders must ensure they have enough funds and engage with EigenFi dApps; they will need a Web3-compatible wallet like MetaMask. The possessed wallet must contain enough ETH to pay transaction fees, such as deposits, withdrawals, and smart contract interactions. To use the Bitlayer Vault, traders must go to the official EigenFi Bitlayer Vault website and use the decentralized program (dApp). While traders can explore its features without connecting, full access requires them to link their wallets.

Conclusion

Helix Labs has explored the possibility of liquid staking by offering advanced integrations and strong security within the EigenLayer ecosystem. Using LSTs promotes innovation in the DeFi arena by stimulating the creation of new financial products and services. Liquid staking tokens allow traders to earn rewards while preserving access to their assets. The Helix Vault System transforms the economic potential of staked assets. By solving liquidity fragmentation, maximizing staking capital, and improving decentralized security, Helix provides a long-term foundation for cross-chain staking and DeFi development.