What problem does liquid staking actually solve? A lot of people can't explain it!
During the sharp market downturn in 2022, stETH traded at a significant discount to ETH on the secondary market.
The risks of liquid staking are cumulative: smart contract vulnerabilities, slashing of node operators, and secondary-market discounts. If you use it to leverage up, there's also the risk of liquidation.
When you see claims of high yields, be extra skeptical.
$LDO 0.4313 (+8.5%)
During the sharp market downturn in 2022, stETH traded at a significant discount to ETH on the secondary market.
The risks of liquid staking are cumulative: smart contract vulnerabilities, slashing of node operators, and secondary-market discounts. If you use it to leverage up, there's also the risk of liquidation.
When you see claims of high yields, be extra skeptical.
$LDO 0.4313 (+8.5%)