Actually, everyone understands it: the “returns” from LST/re-staking are, in plain terms, not free money falling from the sky. Part of it is the block rewards from the original staking; the other part is more like reselling the same security again—if someone (like a new L1/L2/AVS, etc.) is willing to pay incentives to attract TVL, then you just take a slice of the sweetener. And the problem is right here: once the incentives stop, many people end up “unstaking and selling” (i.e., withdrawing and cashing out), and it’s normal for long-time users to complain. I’ve even been pulled along by that kind of sentiment myself…

As for risks—besides the usual talk about price volatility, what’s more annoying is the multi-layer packaging: the LST’s own contract, the re-staking protocol’s contract, the underlying validation/slashing and penalty mechanisms (who takes responsibility if the penalties are actually enforced), and the risk that if liquidity tightens, redemptions could get stuck. I’m pretty hesitant right now: my position is small, I’m trying to choose options that are more transparent, and if the reward design looks too convoluted, I’ll just wait and observe… Anyway, I’m still hard at work reading the documentation.