Ben Lakoff(@benlakoff):High APY DeFi vaults w/ illiquid RWAs and private credit look attractive......until panic hits. RWAs and proof of reserves are great, but they don’t solve the core issue.... these assets can’t be unwound overnight. A liquid token wrapper on a very illiquid underlying collateral doesn’t eliminate maturity and liquidity mismatch risk. High yield comes with strings attached. Keep that in mind as more RWAs come onchain...

2026.06.22 11:59

High APY DeFi vaults w/ illiquid RWAs and private credit look attractive......until panic hits. RWAs and proof of reserves are great, but they don’t solve the core issue.... these assets can’t be unwound overnight. A liquid token wrapper on a very illiquid underlying collateral doesn’t eliminate maturity and liquidity mismatch risk. High yield comes with strings attached. Keep that in mind as more RWAs come onchain...