What is Renzo (REZ)?

Deep Dive

1. Purpose & Value Proposition

Renzo solves capital inefficiency in Ethereum staking by allowing users to restake ETH or liquid staking tokens (LSTs) via EigenLayer. This enables participants to secure Actively Validated Services (AVSs)—decentralized infrastructure like oracles or bridges—while earning rewards from both Ethereum staking and AVS fees. By automating strategy management, Renzo reduces barriers for non-technical users seeking exposure to restaking’s higher yields.

2. Technology & Architecture

Renzo operates as a Strategy Manager for EigenLayer, minting ezETH tokens when users deposit ETH/LSTs. These tokens auto-compound rewards (staking + restaking yields) and remain liquid for use in DeFi protocols. The protocol selects AVSs based on risk-adjusted returns and collaborates with institutional node operators to ensure validator reliability. Smart contracts handle slashing protection and reward distribution.

3. Key Differentiators

• Compliance-Ready: Offers whitelisted vaults with KYC/AML features for institutions.
• Tax Efficiency: ezETH’s auto-compounding avoids taxable events from manual reward claims.
• Cross-Chain: Supports restaking across Ethereum, BNB Chain, and Polygon via bridges.

Conclusion

Renzo bridges Ethereum’s security with EigenLayer’s modular services, balancing user-friendliness and institutional-grade infrastructure. Its ezETH tokenization model unlocks liquidity while maintaining exposure to compounding yields.

Looking ahead: Can Renzo maintain its security-first approach as restaking adoption scales?