EigenLayer has billions restaked—but are the yields actually sustainable?

EigenLayer’s restaking model has attracted billions in ETH, but beneath the surface, are the yields as promising as they seem? Let’s break it down:

1. Current yields are underwhelming. Despite the hype, the average restaking APR on EigenLayer hovers at less than 1%, largely fueled by speculative incentives rather than actual economic activity.
2. No real monetization from AVSs (yet). Most Actively Validated Services (AVSs) haven’t found ways to generate real value. One example: ARPA’s ETH restaking APY is around 0.0006%—barely enough to justify gas costs.
3. Is this yield chasing masquerading as innovation? Without robust cryptoeconomic incentives, today’s restaking ecosystem risks being more about short-term yield than long-term security or utility.
4. What YieldNest is doing differently: By combining genuine DeFi utility with restaking MAX LRTs, YieldNest is focused on sustainable, measurable returns—not just token emissions.

If we want to move past speculative restaking, we need real use cases, clear economic incentives, and services that pay for the security they consume.

Would love to hear your thoughts—do you think restaking has a long-term future, or is it just another DeFi yield farm in disguise?