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What's the downside to Staking?

Etherum Reddit

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My understanding is:

  1. If I'm keeping the Eth long term, staking it out into a pool enables me to achieve higher returns of around 3%
  2. The Eth remains mine, outside of a lockup period, I can unstake it at any time
  3. Whilst it is staked, I can not trade it
  4. Any gains or losses against Eth whilst staked would still apply, but could not be "cashed in" until unstaked

Essentially, 3% returns, in return for locking up access to my Crypto.

What am I missing?

submitted by /u/i-kn0w-n0thing
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