Comment by @zkjew • Hey

What’s your probability of Eigenlayer blowing up and leveraged liquidation cascades occurring in the next 2 years.

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I really think this is a important risk to consider as with any leverage. Especially during bull market valuations go up and more risk is taken and ends up easily in a situation where down side market movements would cascade liquidations and additional systemic risk
Eigen Layer x Blast x Ethena. This bear market deleveraging event will come from in house. But I’m here for all of it. Except maybe blast. Thats blasphemy 💀
can you pls Eli 5 why EL can cause a leveraged liquidation cascade? 🤔 I think i understand why it’s leveraged risk (to loose eth due to slashing, but this eth won’t be sold no?)