Custodial Staking: Hidden Risks Threaten Solana’s Future

A new report from Blocksize highlights the hidden costs and governance risks associated with custodial staking platforms, urging greater transparency for the future of Solana. While many believe staking offers easy returns (e.g., 8.25-10% on native Solana), most custodial platforms deliver significantly lower yields, using this difference to quickly sell SOL tokens on the open market. This creates a dynamic that preemptively inflates the price of SOL through continuous selling and ultimately erodes long-term gains for investors.