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Restaking allows you to reuse an already staked asset to secure additional networks or services while earning extra rewards.
When you deposit into a restaking protocol, your staked tokens (or liquid staking tokens) are delegated again to provide economic security to other protocols, often called Actively Validated Services (AVSs). In return, you earn additional yield on top of the original staking rewards, without unstaking your assets from the base network.
This added capital efficiency comes with increased risk, because you now depend not only on the base blockchain’s staking mechanism, but also on the restaking protocol and the services you are securing. If a restaked service misbehaves or is compromised, your assets may be subject to slashing or penalties. When restaking involves liquid tokens or multiple layers of protocols, risks can compound quickly, especially during periods of stress or high volatility.