What is Karak?

Karak is a universal restaking network that extends Ethereum’s security to new applications by allowing users to restake multiple asset types beyond ETH, including liquid staking tokens (LSTs) and stablecoins. Through its Distributed Secure Services (DSS) model, developers can secure their protocols—such as oracles, bridges, and rollups—without having to build an entirely new trust network or issue inflationary tokens. Karak operates as a marketplace for security, enabling developers to incentivize validators to allocate their staked assets, making it more cost-effective to secure blockchain applications and infrastructure.

What are the risks

Karak’s multi-asset restaking model introduces new risks related to asset volatility, security dependencies, and validator incentives. The inclusion of stablecoins and LSTs in restaking baskets increases exposure to depegs and liquidity fluctuations, which could impact the security of DSSs. Additionally, as a market-driven security model, validator incentives may shift over time, potentially creating instability for protocols relying on Karak’s restaking marketplace. The complexity of cross-chain security and the integration of external staking assets also introduce smart contract and operational risks that must be carefully managed.

How you make money on Karak

Users earn yield on Karak by restaking their assets, such as ETH, LSTs, or stablecoins, to secure DSSs in exchange for rewards. Validators are compensated for providing security to applications, while DSS operators can attract staked assets without issuing inflationary rewards. Developers also benefit from reduced security costs, as Karak eliminates the need for projects to establish standalone validator networks. The flexibility of asset restaking allows for diversified income streams, making Karak a capital-efficient way to earn on staked assets.