• Lido upgraded to its second version on Ethereum, sending the native governance token, LDO, up 10%
• Users can now unstake their stETH and receive ETH at a 1:1 ratio
• Lido has already withdrawn more than 278,000 ETH from liquid staking derivatives on Ethereum
Lido Upgrades to Second Version
Lido has upgraded to its second version (“V2”) on Ethereum. This new version allows users to unstake their stETH and receive ETH at a 1:1 ratio. The maximum time that it might take for a validator to exit and withdraw from the staking queue stands at 5 days and 14 hours. Additionally, users will also receive an NFT as an intermediate step between requesting to unstake and claiming one’s ETH.
LDO Market Performance
The upgrade of Lido sent its native governance token, LDO, up 10% in the past 24 hours. Currently commanding about nearly 80% market share of liquid staking derivatives on Ethereum according to blockchain analytics firm Nansen, Lido has already withdrawn more than 278,000 ETH at press time making it the fourth largest entity by ETH withdrawals behind crypto exchanges – Kraken, Coinbase and Binance.
To ensure secure operations and user safety with this V2 upgrade, Lido said they received nine total audits from several firms such as Statemind and MixBytes. All have been completed except for one by Oxorio which is expected to finish at the end of May.
Kydo Point of View
Vice President of Stanford Blockchain Club who goes by Kydo said that this change is important because it is “derisking the entire Lido tech stack.” He believes these events demonstrate how secure this technology is becoming.
The upgrade of Lido’s second version offers users an improved experience when interacting with liquid staking derivatives on Ethereum. With numerous audits completed except for one audit which is scheduled for completion near the end of May this year, Kydo believes these events demonstrate how secure this technology is becoming in order to guarantee user security.