About Lido DAO Token (LDO)
Lido DAO Token (LDO) is a community that builds liquid staking service for Ethereum. Lido allows users to earn staking rewards without locking assets or maintaining staking infrastructure. Staking with Lido is primed to start along with Phase 0 of Ethereum 2.0. Ethereum is soon to be the biggest staking economy in the space. However, staking on the first stages of Ethereum 2.0 comes with a high market risk related to frozen staked assets until transfers will be available in Ethereum 2.0 (Phase 1.5 or Phase 2), which is expected to happen next year at the earliest. Until that time, no one will be able to withdraw staked ether, and, for example, sell them on an exchange.
Lido DAO Token (LDO) liquid staking protocol is an Ethereum 2.0 liquid staking protocol solving these drawbacks. Users can deposit their ether in Lido smart contracts and receive stETH — a tokenized version of staked ether — in return. The DAO-controlled smart contracts then stake tokens with DAO-picked node operators. Users’ deposited funds are controlled by the DAO, node operators never have direct access to the users’ assets. Unlike staked ether, the stETH token is free from the limitations associated with a lack of liquidity and can be transferred at any time. The stETH token balance will be calculated based on the total amount of staked ether, plus rewards and minus any slashing penalties. Lido is a much more flexible solution than self-staking since it avoids freezing assets and maintaining a validator node. In addition, it allows staking users to earn rewards on as small a deposit as they want without restriction on the number of ether deposited.
Lido DAO Token (LDO) At the start, the system applies a 10% fee (this can be changed by the DAO) on staking rewards that are split between node operators, the DAO, and a slashing insurance fund. This fee level should make Lido staking more profitable than what is offered with most available exchange staking, but, unlike them, Lido’s amount of staked ether is fully auditable and does not rely on a single party’s private key management. Despite the strict limitations of the beacon chain, the first stage of Ethereum 2.0, we propose a decentralized approach for liquid staking
Lido DAO Token (LDO) Storage Key Points
|Coin Name||Lido DAO Token|
|Circulating Supply||24,539,272.69 LDO|
|Source Code||Click Here To View Source Code|
|Explorers||Click Here To View Explorers|
|Twitter Page||Click Here To Visit Twitter Group|
|Official Project Website||Click Here To Visit Website|
Lido aims to allow users to stake ether without losing the ability to trade or otherwise use their tokens. Lido will be a decentralized infrastructure for issuing a liquid token that is safer than exchange staking and has incredible flexibility compared to self-staking
To allow users to earn staking rewards without fully locking their ether;
To make it possible to earn rewards on as small a deposit as users want without restriction on
deposits different than 32 ether;
To reduce the risks of losing a staked deposit due to software failures or malicious
To provide the stETH token as a building block for other applications and protocols (e.g., as
collateral in lending or other trading DeFi solutions);
To provide an alternative to exchange staking, self-staking, and other semi-custodial and
To allow users to earn staking rewards without fully locking their ether; To make it possible to earn rewards on as small a deposit as users want without restriction on deposits different than 32 ether; To reduce the risks of losing a staked deposit due to software failures or malicious third-parties; To provide the stETH token as a building block for other applications and protocols (e.g., as collateral in lending or other trading DeFi solutions); To provide an alternative to exchange staking, self-staking, and other semi-custodial and decentralized protocols
A DAO is an optimal structure for launching Lido because: Lido is highly dependent on the design and restrictions of the beacon chain;
Ethereum 2.0 staking protocol may change and therefore Lido should be upgradable; An insurance provider must be selected and terms for slashing insurance must be negotiated;
DAO governance is better than one person or a developer’s team for making decisions about changes in Lido; and a DAO will be able to cover the costs of developing and upgrading the protocol from the DAO token treasury.
The DAO will accumulate service fees from Lido, which can be funneled into the insurance and development funds, distributed by the DAO
How Lido works
Lido builds state of the art liquid staking protocols to grow the staking economy
Lido lets users stake their assets for daily staking rewards. User can stake any amount of tokens – no minimum.
When staking Lido you mint staked tokens which are pegged 1:1 to your initial stake. Your staked tokens can be used across the DeFi ecosystem to compound your yield.
Lido lets you use your staked assets to gain yield on top of yield. Use your tokens (which earn daily staking rewards) as collateral, for lending, yield farming and more.
Lido DAO is a community that builds liquid staking services and governs the direction of Lido. The number of DAO participants is growing daily with contributors working together to build the future of Lido.
Lido has been audited by the industry-leaders in blockchain security.
Quantstamp’s mission is to secure the decentralized internet, and has protected over $8B in digital asset risk from hackers. More than 170 startups, foundations and enterprises work with to keep their innovative products safe.
MixBytes is a team of experienced developers providing top-notch blockchain solutions, smart contract security audits and tech advisory
Lido is managed by the Lido DAO. The DAO members govern Lido to ensure its efficiency and stability. Besides technical development, the Lido DAO’s mandate is to promote Lido and recruit new users, node operators, and validators with educational content, promotional campaigns, and affiliate marketing. The Lido DAO should do the following
Deploy protocol smart contracts;
Set fees and other protocol parameters;
Select the threshold signature scheme participants among reputable individuals or organizations
willing to provide the service;
Facilitate the multi-party computation ceremony to create the threshold signature account for