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What are the risks of liquid restaking and the points craze?

Etherum Reddit

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The points narrative has really exploded and is attracting large amount of liquidity mostly Ethereum.

How safe are these contracts that this liquidity gets looped through? How come people are comfortable injecting such large TVL for points into new protocols? This seems dangerous to me. And I feel also poses a threat to ETH should something go wrong with that TVL.

Does anybody have more sophisticated thoughts on the matter than me?

submitted by /u/oddowl13
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