Restaked

Restaked is the past tense of restake, a term used in proof-of-stake blockchain systems to describe the action of staking tokens again after they have been unstaked or after rewards have accrued. In many networks, users can delegate their stake to validators to earn rewards; restaking occurs when that stake is moved to a different validator, or when earned rewards are redeployed as additional stake.

Mechanics vary by network, but common patterns include unbonding or withdrawal periods before stake can be redeployed. After the waiting period, the user can deposit the tokens again and designate a validator or pool. Some systems also support auto-restaking or compounding, where staking rewards are automatically added to the existing stake, effectively increasing the stake without manual intervention.

Motivations for restaking include seeking better validator performance, reliability, or lower fees; responding to changes in reward structures; or reallocating voting power to align with governance objectives. Restaking can influence the distribution of stake across validators and, consequently, network decentralization. In networks with many validators, restaking decisions may affect security and performance dynamics.

Risks and considerations include validator risk (misbehavior can trigger penalties or slashing), liquidity risk (unbonding periods delay access to funds), and governance or protocol changes that alter staking rules. Users should review validator performance, compliance with network rules, and the specific restaking mechanics and timelines on their chosen blockchain.