LST, re-staking—put simply, the returns aren’t conjured out of thin air: part of it is the consensus rewards from native staking, and the other part is renting out the same “security” to more services to earn subsidies or fees. The subsidy period looks pretty appealing, but down the road it will most likely turn into a competition to undercut prices; in the end, you’ll be left with what real demand is willing to pay.

The risks are also pretty straightforward: on the on-chain layer, it’s about penalties and nodes making trouble; on the protocol layer, it’s a chain reaction created by contracts, oracles, and leverage stacking. Especially with re-staking—if something goes wrong, it’s not just losing a bit of interest; the principal could also be “long-side liquidated/claimed” through counterparties’ claims.

Recently, that mainstream public chain is set to upgrade, and everyone’s wondering whether the ecosystem will migrate. I’d actually look first at the exit paths for LST and re-staking. When liquidity gets tight before and after the upgrade, those low-probability things—like trading at a discount and redemption queues—are more likely to become routine. First, think through whether you can get your money out; then talk about the returns.