The Ethereum re-pledge market may face hidden risks
Golden Finance reports that Coinbase’s latest research report shows that Restake has developed into the second largest DeFi field on the Ethereum blockchain and is expected to become a core part of the ecosystem infrastructure, but it may also bring hidden risks. Coinbase said that from a financial and security perspective, re-staking and Liquidity Re-staking Tokens (LRT) may pose greater risks than existing staking products, as the adoption of LRT around the underlying protocol may lead to Opaque staking strategy. Furthermore, the report states that stakeholders will select LRT providers that offer the highest rewards, which may also lead to additional risks, as these providers will try to maximize returns by re-staking multiple times to attract more users.
Release time
2024-04-03 01:08:41