Lately I’ve been seeing a lot of narratives about “yield stacking” from re-pledging plus shared security. To put it simply, it’s just splitting the same risk into a bunch of different nameplates. Stacking APR feels great, but the risks at the tail end stack up too—not because you didn’t see it, but because you don’t want to see it. When the protocol says “shared security,” my first reaction is: who, exactly, is sharing responsibility to cover the downside, when is it triggered, and after it’s triggered can you still exit?
These past two days, as expectations for rate cuts heat up, discussions
View Original