Ether.fi Surges 15.83% as Neobank Pivot Takes Hold
Ether.fi saw its price surge by 15.83% over the last 24 hours, driven mainly by a fresh re-rating of its business after news that it is exiting low-yield restaking and pivoting to a neobank style app.
The company's decision to exit restaking entirely this quarter, leaving under 1% of its assets restaked on EigenLayer, was framed as a rational choice due to negligible yields relative to risk. The sector-wide restaking economics have deteriorated, with restaking TVL of about $10B generating only around $99,977 in weekly fees.
The company has pivoted to a neobank model, launching a crypto-backed card, borrowing market, and tokenized assets offering, which management claims has already 'fully replaced' lost staking revenue and is on track for a significant revenue increase this year.