DeFi

Anyone worried about liquid restaking having unforeseen risks like Terra/Luna?

Investing in AI & Web3 via Generative Ventures
https://www.genventures.xyz/

Ex Chief Economist & CMO @Consensys

We're creating an algorithmic connection between the core currency of the network, ETH, and the validation of the projects on top via EigenLayer.

I agree that it's not the same math, but similar things are being tied together.

Unforeseen risks, yes most likely. 

Like Terra/Luna, no not all.

block processoor // FID 146 // eng @ Messari // founder @atxdao // @purple #16

Isn't the issue the stuff on top that's validating other networks, not ETH, plus the rehypothecation smart contract risk.

The ETH restaking risk is overblown

In history only 226 validators have been slashed out of 524K validators (0.04%)

75 of those came from a single event in February 2021 during a migration

Ethereum has enough client diversity that the risk is de minimus

Yep, worried everyone's greed is gonna lead to the same mistake

Absolutely, there’s so much we still don’t know. Will dive deeper into risks.

All the eigenlayers Liquid Staking protocols makes me wonder that

Yes 
My core concern is not liquidity staking but lending market accepting lrt n what LTV they will allow it