Restaking in DeFi is facing scrutiny as it fails to deliver real product-market fit. Despite promises of higher yields, the practice actually compounds risk rather than rewards. With a few large players dominating the market, restaking leads to centralization and vulnerability to systemic failures. Major DeFi platforms are shying away from this model, opting for more sustainable and transparent yield systems grounded in verifiable onchain activity. As the industry matures, the focus shifts towards aligning user trust with capital efficiency rather than chasing speculative returns.

Read more at Cointelegraph: Restaking Promises Yield But Delivers Only Stacked Risk