These past couple of days I’ve been reading up on LST and that pile of “extra yields” from re-staking. To put it plainly, the money isn’t appearing out of thin air: part of it is basically the pot of “base yield” from validation/staking, and the other part is money that someone pays you to take on more tail risk. Re-staking takes the same sense of security and has you “work it out” again and again on the same safety—normally it looks pretty sweet—but in extreme moments it’s easy to set off a domino effect: penalties and confiscations, liquidity discounts, redemption run dynamics, and even the path you thought was “stable” can suddenly get stuck.

Now whenever I look at returns, I ask one question first: what risk is the other side actually buying from me? If you can’t explain it clearly, then just treat it as having opened an invisible position at night… Also, lately the labels on on-chain data tools have been criticized for being laggy or even misleading. Really don’t put too much faith in “address = some institution.” If you misread the liquidation line once, it’s not a horoscope chart anymore—it’s a headstone. That’s it for now. Don’t be greedy for a little extra. Sleep comes first.