A new kind of blockchain architecture is having its moment in the sun — but it’s also casting a long shadow.

So-called “restaking” protocols claim they’ve achieved new levels of efficiency by piggybacking on staking-based security models. But those efficiencies also entail risks — risks we don’t entirely understand.

That isn’t just risk to users of any particular restaking project, but to entire ecosystems. Ethereum co-founder Vitalik Buterin himself has warned that restaking protocols could pose “significant systemic risk.” It’s important to pay attention now, because these protocols are growing fast, and any risk is growing with them. 

In a worst-case scenario,…

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