$ETH Restaking: how to earn from "double" staking
Restaking is an innovation in the crypto world that allows for the reuse of staked assets to support other blockchains and generate additional income⭐️
The restaking technology allows for increased profitability: users stake tokens (for example, ETH in Ethereum 2.0), and then through protocols like EigenLayer or Renzo, delegate them to external ecosystems — L2 solutions, oracles, or DeFi platforms, receiving double rewards: base income from the main staking and additional income for using assets in supported networks.
Advantages:
+ Additional yield (5-15% on top of the base staking)
+ Support for new blockchain projects
+ Ability to use tokenized derivatives in DeFi
Risks:
- Possible penalties (slashing) for violations by the Node
- Vulnerabilities in smart contracts
- Dependence of yield on market demand