✳flâneur — a map of the web's best reading
The Risks of LSD - HackMD
notes.ethereum.org · 1,597 words · saved by 1 readers
# The Risks of LSD ### Liquid Staking Derivatives cannot safely exceed consensus thresholds Liquid
The Risks of LSD - HackMD # The Risks of LSD ### Liquid Staking Derivatives cannot safely exceed consensus thresholds Liquid staking derivatives (LSD) such as Lido and similar protocols are a stratum for cartelization and induce significant risks to the Ethereum protocol and to the associated pooled capital when exceeding critical consensus thresholds. Capital allocators should be aware of the risks on their capital and allocate to alternative protocols. LSD protocols should self-limit to avoid centralization and protocol risk that can ultimately destroy their product. *Note, although current
Explore this link on the map →related reading
- Should Ethereum be okay with enshrining more things in the protocol?vitalik.eth.limo
- Semantics of Staking 1: Liquefaction — The price of agencymirror.xyz
- Ethereum is a Dark Forest - Paradigmparadigm.xyz
- Liquid staking maximalism - HackMDnotes.ethereum.org
- Enshrined LST — Arixonmirror.xyz
- The Hitchhiker's Guide to Ethereum - Delphi Digitalmembers.delphidigital.io
- Modular Money: Liquid Staking for People in a Hurry - DBAdba.xyz
- Lucidly Finance — Lucidly Financemirror.xyz
- Possible futures of the Ethereum protocol, part 2: The Surgevitalik.eth.limo
- Protocol and staking pool changes that could improve decentralization and reduce consensus overhead - HackMDnotes.ethereum.org
- A whirlwind tour of Ethereum finance — LessWronglesswrong.com
- Notiontinted-soup-c75.notion.site