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โIntroduction to EigenLayer โ Ethereum Staking
Liquid staking tokens like stETH from Lido or rETH from RocketPool enable smaller deposits and composability in DeFi but introduce smart contract vulnerabilities, operator centralization risks, and soft peg deviations to ETH due to consensus queue delays hindering arbitrage. Protocols take a cut of rewards, and while yields align closely, they exceed solo staking risks from third-party dependencies.

