Recently, I’ve come across a bunch of people talking about LSTs and re-staking, and honestly, the returns aren’t just falling from the sky: some come from the underlying staking rewards, but most of the time, it’s driven by various protocol subsidies, points, or redistribution “incentives.” When the market is hot, it looks pretty attractive, but when things cool down, it’s easy to see the flaws. The risks are also quite straightforward: splitting the same security into different parts, layered leverage, if the smart contract has issues, penalties, liquidity crunches—if you want to run, you might not be able to escape.

These days, the staking unlocks and token unlock schedules are being brought up repeatedly, and as soon as the selling pressure anxiety kicks in, everyone’s mood becomes very uniform: just withdraw first. I tend to be more laid-back during these times, slowly reducing my positions, even if it means earning a little less.

Not long ago, I followed a few accounts that kept shouting about “stable” re-staking, but I realized the more I watched, the more anxious I got, and my hands started itching… So I just unfollowed them, and my mindset immediately became much more stable. Anyway, I trust hardware wallets and a slow-paced approach more—only the yields I understand are truly mine.