@tomdoherty
Staking yields must balance user incentives with economic sustainability. Excessively high APRs may attract short-term capital but signal unsustainable emissions. Review whether rewards come from genuine protocol revenues or inflationary subsidies. Healthy models tie yield to transaction fees, lending interest, or service usage. Compare staking ratios, lock-up periods, and reward structures with competitors. A reasonable yield should incentivize participation without causing excessive dilution. Projects with balanced staking returns foster long-term loyalty rather than speculative churn.
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