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SotN#22: BONDING! w/ Collin Myers (ETH Internet Bond Market, Staking Returns, ETH Needed to Retire?)

Bankless

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Ethereum and Bond Markets: A New Financial Paradigm

This chapter explores the parallels between Ethereum's staking mechanism and traditional bond markets, particularly highlighting staked Ether as a form of surety bond. It discusses Ethereum 2.0's launch and its potential impact on establishing a risk-free rate in decentralized finance, reshaping risk-reward structures and institutional perceptions. The chapter also delves into the unique characteristics of ETH2 internet bonds, including their perpetual nature and valuation implications, positioning them as a significant asset class for investors.

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