Restaking Yield & Risk Calculator
How Restaking Works
Restaking allows you to earn extra rewards by using your staked ETH to secure additional protocols (AVSs). While standard ETH staking yields 3.5-4.5% APY, restaking can increase this to 6-8% or higher.
Important: Restaking increases your risk of slashing penalties. You're now responsible for the security of multiple protocols, not just Ethereum.
ETH
Standard Staking Returns
Expected APY: 4.5%
Your ETH is earning rewards for securing the Ethereum network only.
Restaking Returns
Expected APY: 6-8%
This includes rewards from Ethereum plus additional AVS rewards.
Slashing Risk Assessment
Potential loss from slashing:
This represents your exposure to slashing penalties across multiple protocols.
Recommended Allocation: Experts suggest starting with 10-20% of your staked ETH for restaking only. Never stake more than you're prepared to lose.
When you stake your Ethereum, you’re helping secure the network and earning rewards for it. But what if you could do that and earn extra rewards by using the same tokens to help secure other protocols at the same time? That’s crypto restaking - and it’s changing how people think about locked-up capital in blockchain.
Restaking isn’t just a new feature. It’s a fundamental shift. Instead of letting your staked ETH sit idle after securing Ethereum, you can now reuse it to back other services - like decentralized oracles, privacy layers, or even new blockchains - and get paid for it. The biggest player driving this is EigenLayer is a protocol on Ethereum that allows users to restake their ETH to secure additional services called Actively Validated Services (AVSs). As of mid-2025, over $10 billion in ETH has been restaked through EigenLayer, making it the dominant platform for this new model.
How Restaking Works: Two Ways to Get Started
There are two main paths to restaking: native and liquid. They serve different types of users.
Native restaking is for people who already run Ethereum validator nodes. If you’re running your own hardware, you can download EigenLayer’s software and opt in to secure extra services. This gives you full control, but it’s technical. You need to understand node management, uptime requirements, and how slashing works across multiple systems.
Liquid restaking is what most people use. You stake your ETH through a liquid staking provider like Lido or Rocket Pool. You get back stETH or rETH - tokens that represent your staked ETH and keep earning base rewards. Then, you deposit those tokens into a restaking protocol like EigenLayer. In return, you get an LRT - a Liquid Restaking Token - like ezETH or reETH. This LRT tracks your original stake plus the extra rewards from AVSs. The beauty? You can still trade or use your LRT in DeFi apps while it’s securing other networks.
This flexibility is why liquid restaking exploded. Platforms like Renzo, Ether.Fi, and Puffer Finance now manage over $3 billion in restaked assets. You don’t need to be a node operator. You just need to understand the steps: stake → get LST → deposit into restaking → get LRT.
The Big Benefit: More Rewards Without Locking More Money
The most obvious reason people try restaking is the yield boost. Standard ETH staking gives you around 3.5-4.5% APY. Restaking can push that to 6-8% or even higher - depending on which AVSs you’re supporting.
Why? Because you’re not just earning from Ethereum anymore. You’re also earning from the services you help secure. One AVS might pay for decentralized data availability. Another pays for fraud proofs on a rollup. Each adds a small layer of reward. When stacked, they add up.
For someone who already staked ETH, restaking is like turning idle capital into a multi-income stream. You don’t sell your ETH. You don’t move it to another chain. You just let it work harder. That’s the core appeal: capital efficiency.
Think of it like renting out your car. You still use it for your daily commute, but now you also rent it out on weekends for extra cash. Restaking does the same with your ETH - it’s still securing Ethereum, but now it’s also securing other tools.
The Hidden Risk: Slashing Multiplies
Every reward comes with a risk. And in restaking, the risk isn’t just bigger - it’s layered.
When you stake ETH normally, you’re only at risk of slashing if your validator goes offline or misbehaves on Ethereum. Slashing penalties are usually 0.1% to 5% of your stake - painful, but contained.
With restaking, you’re now responsible for the security of every AVS you opt into. If one of those services gets hacked, misbehaves, or has a bug, and your node is involved, you can get slashed - on top of any Ethereum penalty.
This is called compounded slashing risk. You’re no longer just under Ethereum’s rules. You’re now bound by the rules of every AVS you support. And those rules aren’t always clear.
Some AVSs have aggressive slashing conditions. Others are poorly audited. A user might restake with a platform that says “secure a privacy layer,” but doesn’t explain what happens if that layer’s code fails. If it does, your ETH gets slashed - even if Ethereum itself is perfectly fine.
That’s why experts warn: you’re not just earning more. You’re taking on more exposure. Galaxy Research called this a “single point of failure” risk. If one major AVS collapses, it could trigger cascading losses across thousands of restakers.
Concentration Risk: Too Much Power in One Place
Right now, almost all restaking happens on Ethereum via EigenLayer. That’s convenient - but dangerous.
Over 15% of all staked ETH is now being restaked. That means a huge chunk of Ethereum’s security is being reused for other protocols. If something goes wrong - say, a critical bug in EigenLayer or a mass slashing event - it could shake confidence in Ethereum itself.
It’s like building a bridge that carries both cars and trains. If the bridge fails, both systems collapse. Right now, restaking is turning Ethereum into the backbone of the entire crypto security layer. That’s powerful - but it centralizes risk.
Other chains like Cosmos are exploring restaking, but they’re years behind. Until more chains adopt it, Ethereum remains the single point of failure. And that’s a big concern for long-term resilience.
Complexity and the “Black Box” Problem
Restaking sounds simple: stake, restake, earn more. But the reality is messy.
Most users don’t know what AVSs they’re actually securing. Is it a data oracle? A bridge? A privacy tool? The names sound technical, but the functions aren’t always explained in plain terms. Many users admit they just click “restake” because the APY looks good.
Platforms like Renzo and Ether.Fi make it easy to join, but they don’t always show the full risk profile of each AVS. There’s no standardized way to rate them. One might be audited by a top firm. Another might be run by a team with no public track record.
That’s the “black box” problem. You’re trusting your assets to code you didn’t write, for services you don’t fully understand. Community forums like r/ethstaker are full of users who earned 7% extra - then lost 3% in a slashing event because they didn’t realize one AVS had a 10% slashing penalty for minor downtime.
Even the documentation varies. EigenLayer’s technical docs are highly rated by developers. But the user guides? Mixed. Many beginners say they spent hours just figuring out how to track their rewards across multiple tokens.
Who Should Restake - and Who Should Stay Away?
Restaking isn’t for everyone. Here’s who it works for:
- You already stake ETH and understand slashing risks
- You’re comfortable with DeFi and managing multiple tokens (stETH, LRTs, etc.)
- You’re not putting in money you can’t afford to lose
- You’re willing to learn what each AVS does before opting in
And here’s who should avoid it:
- You’re new to crypto or staking
- You don’t know how to check your wallet for multiple token balances
- You’re chasing high yields without understanding the trade-offs
- You expect guaranteed returns
Changelly’s advice is blunt: “Start small. Pick trusted platforms. Never commit more than you’re ready to lose.” That’s not just a tip - it’s a survival rule.
The Future: Modular Restaking and Regulation
Restaking is still early. But it’s evolving fast.
EigenLayer’s upcoming v2 update will let users pick which AVSs they want to support - not just accept all of them. That’s a big step. Instead of blanket exposure, you’ll be able to choose low-risk, medium-risk, or high-risk services. You’ll control your exposure.
Regulators are watching too. The U.S. SEC hasn’t said yet if LRTs are securities. But they’ve signaled concern. If they classify restaking tokens as investment contracts, it could force platforms to change how they operate - or even shut down.
Some analysts think restaking could eventually secure $50-100 billion across blockchains by 2026. But that only happens if the risks are managed. Otherwise, a single failure could wipe out trust in the whole model.
One thing’s clear: restaking isn’t just a yield hack. It’s a new way to build blockchain security. But like any powerful tool, it demands respect.
Getting Started: A Simple Checklist
If you’re ready to try restaking, here’s a no-fluff path:
- Stake your ETH through a trusted liquid staking provider (Lido, Rocket Pool, or Kraken)
- Get your stETH, rETH, or similar LST
- Go to a well-known restaking platform (EigenLayer via Renzo, Ether.Fi, or Puffer)
- Deposit your LST to receive an LRT
- Read the AVS list - avoid anything you don’t understand
- Start with 10-20% of your staked ETH
- Track your LRT balance and rewards weekly
- Never stake more than you’re okay losing
It’s not magic. It’s just better use of what you already own. But only if you know what you’re signing up for.
What is crypto restaking?
Crypto restaking lets you use your already-staked ETH to help secure other blockchain services (called AVSs) and earn extra rewards - without unstaking or selling your tokens. It’s like letting your staked ETH work double duty.
Is restaking safe?
It’s riskier than regular staking. You’re exposed to slashing penalties from Ethereum and every AVS you support. If one service fails, you could lose part of your stake. It’s not unsafe - but it requires understanding the risks before you start.
How much extra can I earn with restaking?
Typically, you can earn 20-50% more than standard ETH staking. That means if you get 4% from staking, restaking might boost it to 5-6%, sometimes higher - depending on the AVSs you choose. But higher yield means higher risk.
What’s the difference between staking and restaking?
Staking locks your ETH to secure Ethereum. Restaking uses that same staked ETH to also secure other protocols. You earn rewards from both, but you’re now responsible for the security of multiple systems - not just Ethereum.
Can I lose my ETH with restaking?
Yes. If your validator node goes offline or misbehaves on Ethereum, you can be slashed. If one of the AVSs you’re securing has a failure, you can be slashed again. You could lose 1%, 5%, or more of your stake - even if Ethereum itself is fine.
Do I need to be a validator to restake?
No. Most people use liquid restaking. You stake through a platform like Lido, get stETH, then deposit it into EigenLayer or another restaking protocol. You get an LRT and earn rewards without running any hardware.
What are LRTs?
LRT stands for Liquid Restaking Token. It’s a token you receive when you restake your liquid staking token (like stETH). It represents your original stake plus the extra rewards from AVSs. You can often trade or use LRTs in DeFi apps while still earning rewards.
Is EigenLayer the only restaking option?
Currently, yes - over 90% of restaking happens through EigenLayer. Other chains like Cosmos are testing similar systems, but nothing else has gained major traction yet. That makes EigenLayer the dominant, and most risky, single point in the ecosystem.
Should I restake all my ETH?
No. Experts recommend starting with a small portion - 10-20% - and only if you understand the risks. Restaking amplifies both rewards and losses. Never stake more than you’re willing to lose.
What’s the biggest mistake new restakers make?
They assume restaking is just “higher yield staking.” They don’t research the AVSs they’re securing. They don’t understand slashing conditions. And they treat it like a guaranteed return - which it absolutely is not.
Restaking is one of the most powerful innovations in crypto since liquid staking. But it’s not a shortcut to riches. It’s a tool - and like any tool, its value depends on how well you use it.
11 Comments
Okay, so I just spent three hours reading everything about restaking, and I’m still not sure if I’m a genius or a fool for even considering it… but here’s the thing: I already have 8 ETH staked via Lido, and I’ve been eyeing Renzo’s ezETH for weeks. I mean, 7.2% APY is insane compared to 4.1% on vanilla staking, right? But then I read about slashing across AVSs and my stomach dropped. Like, what if one of those ‘privacy layers’ gets hacked because some dev forgot to validate input? Do I lose my whole stash? I don’t even know what ‘fraud proofs on a rollup’ means, but I trust the math. Or do I? I’m just so tired of crypto being this high-wire act where you’re told to ‘do your own research’ but nobody actually explains the risks in human terms. I think I’ll start with 10%… and maybe cry a little when the rewards hit. 😅
There’s something quietly beautiful about restaking-it’s like giving your ETH a second job without making it quit the first. You’re not hoarding, you’re not gambling, you’re just… optimizing. The real magic isn’t the yield bump-it’s the fact that Ethereum’s security is being reused like a shared public good. But yeah, the risk is real. I’ve seen too many people treat LRTs like crypto lottery tickets. The AVSs aren’t all created equal. Some are audited by top firms, others are coded by anonymous teams with zero track record. If you’re going to do this, pick the ones with clear docs, public audits, and low slashing thresholds. And never, ever stake more than you’d be okay losing on a Tuesday morning after a bad coffee.
Bro why are you all so scared?? I restaked 20 ETH last month and got 1.5 ETH extra in 3 weeks. Who cares about slashing?? If you’re not earning more than 6% you’re doing it wrong. Also why are you using Lido? Just use Puffer, they give better rewards and their UI is clean. Also I heard EigenLayer is going to launch a token soon-buy now before it pumps. I’m not even joking. This is the next SushiSwap.
Restaking is just DeFi’s way of saying ‘we’re gonna monetize your FOMO’ 🤡. You think you’re being smart? Nah. You’re just letting some smart contract with 3 lines of unverified code decide if you lose 5% of your life savings. I’ve seen 3 people in my Discord get slashed because some AVS had a ‘minor bug’. Minor bug? Bro, that’s your ETH. And don’t even get me started on how no one knows what ‘data availability’ even means. Just stake on Coinbase and chill. 🙃
Let me cut through the noise. Restaking isn’t ‘innovative’-it’s necessary. Ethereum’s security model was never meant to be the backbone of a thousand protocols. But here we are. And yes, the risk is real-but it’s not magic. It’s math. You’re not just earning more-you’re becoming a validator for the entire modular blockchain ecosystem. That’s not a bug, it’s a feature. The problem? Most people treat this like a yield farm. They don’t read the docs. They don’t check AVS reputations. They just click ‘restake’ because the APY is ‘hot’. If you’re going to do this, treat it like you’re running a node. Research. Monitor. Diversify your AVS exposure. And if you’re new? Start with 5%. This isn’t gambling-it’s infrastructure. And infrastructure demands respect.
Why are we letting some Silicon Valley startup dictate how our crypto security works? EigenLayer is basically a private company controlling the backbone of Ethereum. And we’re just handing over our ETH like it’s a donation? This is the definition of centralized control dressed up as decentralization. If the U.S. government ever decides to sanction EigenLayer, we’re all screwed. And nobody’s talking about this. Just you and me and 15 billion in ETH being used as collateral for a bunch of unregulated code. This isn’t innovation-it’s a Trojan horse.
Restaking is a Fed-backed asset manipulation scheme disguised as DeFi. The SEC is already compiling evidence on LRTs as unregistered securities. The fact that EigenLayer is the sole platform, with 90% market share, is not coincidence-it’s collusion. The ‘AVSs’ are shell entities created by venture capital firms to siphon liquidity. Your ‘rewards’? Illusory. Your ‘staking’? A liability. The slashing mechanism is designed to create panic sell-offs, which then allow whales to buy ETH at 30% discounts. This isn’t finance. It’s psychological warfare. And you’re all willingly participating. Wake up.
Man I just tried restaking last week and honestly? It felt like handing my keys to a stranger who says ‘I’ll park your car and make you money.’ But then I got a notification that my ezETH balance went up by 0.03 ETH and I was like… huh. That’s kinda cool. I don’t know what an AVS is, but I know I got paid. I checked the docs once, got lost after ‘zero-knowledge proof’, and just kept it running. I’m not a dev. I’m not a whale. I’m just a guy who staked ETH and now gets extra coins. Maybe I’m dumb. But I’m dumb and rich. 🤷♂️
Restaking = ✅✅✅
AVSs = 🤖🧠🤯
Slashing risk = 😱💸
LRTs = 🚀💰
Don’t overthink it. Just do it. Start small. Use Renzo. Watch your ezETH grow. Life’s too short to be scared of code. Also, EigenLayer’s gonna be a moonshot. Mark my words. 🌕🚀
Okay, I’ve seen people say ‘just start with 10%’ like it’s a magic number. But why 10%? Why not 5%? Or 20%? Who decided that? There’s no math behind it. It’s just crypto folklore. And now everyone’s repeating it like it’s gospel. I restaked 30% because I trust the platforms. And I’ve been fine. Meanwhile, my friend who did 5% is still asking if it’s ‘safe’. Bro, you’re not playing chess-you’re playing with fire. If you don’t know your risk tolerance, don’t touch it. But if you do? Go all in. Just don’t whine when it works or doesn’t.
Restaking? Sounds like capitalism’s final evolution: turning your trust into a commodity. You stake ETH to secure Ethereum. Then you rent it out to strangers. Who profits? Not you. Not the network. The middlemen. The platforms. The VCs. The ‘AVSs’-which are just code wrapped in buzzwords. We’re not building a better internet. We’re just making the same old pyramid bigger. And we call it ‘innovation’. I’m not mad. I’m just… disappointed. The dream was decentralization. Now it’s just a yield-generating machine with a blockchain sticker on it.