Recently, someone asked me again what LST and re-staking are really earning... I understand it as two layers: one is continuing to hold the original "base salary" from staking, and the other is using the same collateral to back other systems to earn some "extra income." Extra income sounds appealing, but the risks are not free: if protocol rules change, penalties and confiscations occur, or liquidity tightens, the LST discount can hit hard. Basically, it's about taking a little more risk for a small gain, but also taking on more potential trouble.

Now I see it more like watching the tide: big players move assets around on the chain, often not because they believe in the market, but to shift risk exposure... It also reminds me of the NFT royalty disputes, which are quite similar—creators want stable income, but the market finds friction too high, affecting liquidity, and in the end, everyone thinks they’re right. Anyway, I’ll just watch slowly, and don’t rush to "compound returns" on positions. Sometimes doing less makes for a more peaceful sleep.