Recently, I've been looking at LST and re-staking again, and everyone keeps asking, "Where does this yield really come from?" Basically, it's two sides: one is the safety reward from staking itself, and the other is packaging the same "trust" and selling it to earn extra incentives or fees. It sounds pretty good, but the risks also mostly come from here: if the underlying assets have issues, LST decouples, contract bugs, liquidation/redemption congestion, and the chain reaction happens faster than expected.

Now some people are comparing RWA and US Treasury yields with on-chain yield products, as if trying to find a "more stable interest." Thinking about it later, it's quite funny—many times, on-chain profits aren't from interest but from narrative hype and liquidity subsidy sentiment premiums. Anyway, I care more about whether I can exit at any time—don't end up with the yield not received, and first learn how to queue for redemption.