The EigenLayer airdrop controversy highlights critical governance issues in Ethereum's restaking protocol. The allocation of only 5% of EIGEN tokens to early stakers, compared to 55% for insiders, sparked accusations of unfairness and favoritism. Non-transferable tokens and a linear distribution model disadvantaged smaller restakers, fueling community discontent. Aggressive geo-restrictions, excluding users from the U.S. and other regions despite prior staking, raised transparency concerns. Allegations of extortion and bribes linked to airdrop policies further eroded trust. These issues underscore the need for equitable token distribution, clear communication, and decentralized decision-making to align incentives and maintain community confidence in DeFi governance. EigenLayer’s response and future policy revisions will be pivotal in addressing these systemic challenges.