Kelp's KEP: tokenized EigenLayer points and what they could be worth
Thread777 words
Explains Kelp's KEP, an ERC-20 where 1 KEP equals 1 EigenLayer point, with weekly claims and a 0.5% fee. Uses other analysts' valuations of $0.1 to $0.14 per point to expect KEP near $0.15 at launch.
Key claims
1 KEP = 1 EigenLayer point, 0.5% claim fee
Point value estimates of $0.10 (Stacy Muur) and $0.14 (Kunal Goel)
EigenLayer TVL $7.6B
As @eigencloud season hits, billions of dollars in capital will seek exposure to the narrative.
EIGEN might be the most anticipated token in history and you can get exposure early through tokenized EigenLayer points.
Live on a DEX near you soon.
Alpha-🧵
1/ Eigenlayer is the most significant launch since Ethereum itself.
It generalizes Ethereum's trust layer (its validator set) to enable anyone to bootstrap decentralized networks on top of it.
Networks crypto-economically secured by a L1 validator subset & restaked L1 assets.
2/ Networks running arbitrary programs, overcoming the limitations of the EVM, and highly secure
The general-purpose layer for programmable trust ( @eigencloud ) also greatly abstracts complexity for devs
It removes the need to bootstrap & maintain a proprietary validator set
3/ These networks that are bootstrapped on top of @eigencloud and secured by restaked L1 stake, are referred to as Actively Validated Services (AVS).
Believe me, modular AVS infrastructure secured by restaking will be big anon.
x.com/zerokn0wledge_/status/1748390725753176125
4/ Based on these modular infrastructure more performant, secure & decentralized network architectures emerge.
Enabling novel use cases & bearing the potential for signficant UX improvements, @eigencloud is paving the way towards mass adoption for the entire space.
5/ Okay, so that's the bull case for @eigencloud.
But how can you get exposure?
Simple anon. Tokenized EigenLayer Points.
@KelpDAO is making this happen and turns EL points earned on KelpDAO's restaking protocol liquid through KEP!
6/ KEP is an ERC-20 token and a representation of @eigencloud Points earned by @KelpDAO where 1 KEP = 1 EL Point.
Users have complete autonomy to store, share, and utilize their accrued EigenLayer Points as they see fit.
7/ Restakers can also buy, sell, long, short, leverage, or strategically position themselves for further @eigencloud ecosystem airdrops.
8/ Restakers can claim their KEP tokens on @KelpDAO dApp on the 28th already.
Each week, the restakers can choose to claim the EigenLayer Points they earned in the previous week.
9/ Use cases that KEP can enable immediately include:
✦ Trading of KEP on AMMs
✦ Provision liquidity on DEXs with KEP <> rsETH, KEP <> USDC pairs to earn kelp miles and swap fees
✦ Many more DeFi opportunities are under development
10/ Kelp users can claim KEP in 3 easy steps:
✦ Go to the ‘Claim KEP’ section on Kelp dApp and connect your wallet
✦ Check the KEP balance available for you to claim
✦ Click on ‘Claim’ and the KEP token will be transferred to your wallet
x.com/KelpDAO/status/1760722182869799390
11/ Once a user successfully claims their KEP token, the corresponding EigenLayer Points balance of their wallet will be reduced.
Kelp will charge a 0.5% fee for claimed KEP tokens, which will be used to incentivize restakers on @KelpDAO.
12/ But what about airdrops that come with EL points?
For any rewards issued by @eigencloud or other protocols for EigenLayer Points, KEP holders will receive rewards in proportion to the EigenLayer Points their KEP token holdings represent.
13/ There are 2 ways to distribute rewards:
✦ The rewards are provided to @KelpDAO to redistribute amongst its restakers.
✦ The rewarding entity collects data from Kelp DAO to make rewards available to Kelp’s restakers without passing them to the DAO.
14/ This is an absolutely crazy move by @KelpDAO imo.
This will be the closest to actual EIGEN exposure on the market.
Could get very wild, considering the hype around it.
Also interesting to see if and how @eigencloud reacts and when other restaking protocols start to follow.
15/ Everyone wants to max ape on EIGEN and now, thanks to @KelpDAO you can already get token-based exposure even before an official airdrop announcement or pre-launch perps.
Are you ready anon?
16/ Recently, @stacy_muur has done a great thread on the valuation of @eigencloud points.
Conservatively, this puts the EL price to $0.1 at a $10B @eigencloud FDV and 10% in assumed airdrop allocation.
x.com/stacy_muur/status/1759492719624572958
17/ Under similar assumptions, @MessariCrypto analyst @kunalgoel estimated the price per EL point at 0.14$ in his recent @pendle_fi YT calculations.
x.com/kunalgoel/status/1755747478194766084
18/ Based on this, I think it's reasonable to assume that KEP will trade around $0.15 initially, which is also slightly above the prices we have seen on @WhalesMarket.
With the hype around the first ERC-20 based EIGEN exposure, it could go much higher though.
19/ @eigencloud TVL already sits at $7.6B.
What valuation do you expect anon?
NFA, but definitely don't fade EigenLayer Season.
That's a wrap for today! I hope you've found this thread helpful! 🫡
Make sure to follow me @zerokn0wledge_ to stay ahead of the curve on the restaking narrative and @eigencloud!
Like/Repost of the below post is also highly appreciated! 🙏👇
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How the covered assets moved · since 23 Feb 2024
Prices as of 23 Oct 2026This breakdown analyzes the project without making a call on the token, so price moves since publication are shown as market context.
Mentioned for context
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Daily closes in USD from DefiLlama and Yahoo Finance. Only a bullish or bearish thesis is read as a call; explainers, maps and mentions are context. Not financial advice.