Ether restaking is a “robust financial tool,” but investors need to understand the number of loops they are adding.
The emerging Ether restaking protocols promising investors double-digit passive returns have caused significant economic sustainability and security concerns.
However, the biggest risk around Ether (ETH) restaking is not the technical complexity but the lack of investor understanding according to Jeff Owens, the co-founder, and CEO of Haven1.
Speaking with Cointelegraph, Owens said that investors need to understand the risks of asset looping in restaking protocols:
