Recently, I've been looking at LST and re-staking again, and the more I look at it, the more I feel that the word "yield" is quite noisy.

The returns from LST are mainly staking rewards plus possible secondary utilization, but re-staking also "reuses" security, so the money increases a bit, but the risks also stack up: contracts, penalty mechanisms, liquidity squeezes, and even a new service failure could have a domino effect.

Where does the yield come from?
From people willing to pay for security/liquidity/attention, or it could be subsidies just to keep it afloat.

Recently, everyone has been comparing RWA and US Treasury yields to on-chain yield products. I understand, after all, the real interest rates are more "quiet" there. But on the blockchain side, I care more about: whether the yields are sustainable and whether the exit is smooth.
Anyway, I personally treat re-staking as a high-volatility position, small size to try, sleeping well is more important.
Take it slow.