Recently, I've been looking at the LST/re-staking setup again. To put it simply, profits can't grow out of thin air: some are the original staking rewards, and the rest of the "extra bonuses" often rely on selling the same security again, or taking a cut from liquidity/incentive funds. It sounds appealing, but the risks are very real: redemption issues, delays causing discounts, liquidation chain reactions, and ultimately everyone crowding the exit. Large on-chain transfers and hot/cold wallet movements on exchanges are often interpreted as smart money, and I can't help but envy that... But upon reflection, what can keep up are usually risk control and timing, not screenshots. Anyway, I now pay more attention to exit strategies; a slower return is fine, as long as it doesn't blow up immediately when things ferment.

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