Amanda Fischer – former Chief of Staff at the SEC – warns that liquid staking in crypto could trigger a 'Lehman Brothers effect', creating systemic risk if not tightly controlled.
🔍 Core issue:
Fischer is concerned that continuous staking and restaking without transparency could weaken the DeFi ecosystem – similar to the excessive leverage model that led to the 2008 crisis.
⚡ Industry response:
Crypto experts strongly rebut:
Joe Doll (Magic Eden): 'Misguided perspective, lack of technological understanding.'
Matthew Sigel (VanEck): 'The SEC cannot both oversee and deny responsibility.'
Mert Mumtaz (Helius Labs): 'Comparing transparent DeFi with opaque traditional systems is absurd.'
📉 Long-term impact:
Despite opposition, this warning raises questions about the sustainability and systemic risks of liquid staking, while increasing pressure to build a balanced legal framework – protecting investors without stifling innovation.