Staking yield and ratios

Commentary on the concept of staked ether as The Internet Bond

Author’s Note:

From a high level, many aspects of proof-of-stake seem intuitively simple, yet are misunderstood by even those who dedicate their lives to studying cryptoassets. This has led to an incredible quantity of misinformation in the space, with big Twitter accounts attracting engagement from the brainless masses while making fools of themselves to anyone with even a rudimentary understanding of the second-order effects of staking.

This piece hopes to clarify a couple misconceptions and inspire the reader to ask what else they might be misunderstanding.