Lido Monthly Report: February 2024

Lido -

Welcome to the February edition of the Lido Monthly Report, a comprehensive source for insights into all of the latest developments.

 

This report reviews another month of noteworthy metrics, new collaborations, and ongoing developments that highlight the overall performance and progress of the Lido middleware solution.

 

TLDR:

  • Total TVL surged 4.57% to 9.84m ($33b) staked ETH.
  • The Lido middleware onboarded more than 30,000 new ETH stakers, surpassing 250,000.
  • New monthly stETH holders surpassed 62,000, totalling over 408,000.
  • Decrease in liquidity incentives led to notable drops in stETH on DeFi applications and Layer 2 networks.
  • Aragon vote successful for deploying the Simple DVT module on mainnet.
  • Taurus, a leading global digital asset infrastructure provider, will allow Swiss banks and corporate clients to access Ethereum staking services through the Lido middleware.
  • The latest VaNOM report was published, detailing insightful metrics regarding client diversity, infrastructure, geolocation and jurisdiction.
  • The final two instalments of the Community Staking blog series were published.

 

Protocol Performance

In this section, you will find key metrics that offer valuable insights into the overall performance of the protocols over the month of February.

 

 

  • The increase in ETH deposits and the rapid appreciation of ETH's price led to more than 50% surge in total TVL, exceeding $33-billion.
  • Over 30,000 ETH stakers opted to use the Lido middleware for the first time, pushing past the milestone of 250,000 users.
  • The Liquidity Observation Lab continued to reduce liquidity incentives across all chains by over 5%.

 

stETH Performance

In this section, you will find key metrics that offer valuable insights into the overall performance of the Lido's Ethereum staking token over the month of February.

 

 

  • It is important to note that these metrics also include wstETH - the wrapped, non-rebasing version of stETH.
  • During the month, the number of new stETH holders surpassed 62,000, increasing the total number of individual holders to over 408,000.
  • As a result of the continued reduction in liquidity incentives, stETH on both DeFi applications and Layer 2 networks experienced notable decreases across the board.

 

Governance

In this section, notable proposals from the Research Forum and their progress through the voting processes on Snapshot and Aragon are presented. During the past month, multiple Research Forum proposals were submitted and discussed. However, they are still undergoing deliberation, leading to no Snapshot votes being conducted in February.

 

Aragon: Omnibus Votes

Following every Snapshot vote, such proposals are consolidated into a final Omni-Vote within Aragon's 2-Phase voting process:

 

  1. Vote #172 : details

In November 2023, a proposal for deploying the Simple DVT module successfully passed on Snapshot. In February, an official Aragon vote was proposed to release the Simple DVT module on the mainnet, making it the first additional staking module on the Staking Router.

The vote included new Easy Track factories to enhance operational efficiency and adjustments to Oracle Report Sanity Checker parameters for improved functionality.

Proposal Outcome: Successful ✅

 

Community

In this section, you will find recaps of vital community gatherings, with a particular emphasis on the Node Operator Community Calls. These recaps serve to capture and share insights from these gatherings, fostering active engagement and meaningful discussions within this expanding community.

 

NOCC Call #15

The latest Node Operator Community Call covered several important topics:

  • Will, a Lido DAO contributor, provided an update on the Simple DVT staking module. Following six testnets and a successful Aragon vote, Will announced the official deployment of Simple DVT on mainnet. Statistics surrounding the performance on this module can be found here. Currently, there are neither clusters nor node operators running validators through the module, however both can be expected within the coming weeks.
  • Will shared the results from the latest Obol Network Simple DVT testnet, in which 139 new node operators across 36 countries were proposed for the mainnet module within the Obol clusters. This diverse group comprised 70 solo stakers, 28 community stakers, and 41 professional node operators.
  • Following this, Will shared detailed next steps and the expected timeline for the Simple DVT module. Another DVT testnet is scheduled for March, so interested stakers with prior experience running Obol or SSV-based validators can sign up here.
  • Sven, a Lido DAO contributor, presented the latest edition of the Validator & Node Operator Metrics (VaNOM), covering Q4 2023 results. Such reports provide details and insights regarding metrics like client diversity, infrastructure, geolocation and jurisdiction.

 

For more details, see below for the full call:

 

Collaborations

In this section, you will find all the collaborations that have been established in the past month, as leading companies and protocols integrated with the Lido protocols, further expanding the reach and impact of its liquid staking tokens.

 

Integrations

  • Taurus, a leading global digital asset infrastructure provider, announced that it will enable stETH custody and staking. This move will allow Swiss banks and corporate clients to access Ethereum staking services through the Lido middleware.
  • Parallel Network announced that it will be bringing stETH deposits and native staking to its omni-chain L2.
  • The team at Scroll - the ZK-rollup on Ethereum - recently announced their intention deploy wstETH on its network.
  • Leverage protocol Gearbox announced its leverage liquid staking strategies using stETH.

 

Additional

  • The Lido DAO released its Q4 LEGO Report, detailing grants awarded for initiatives orientated around protocol security, decentralization, research, governance, and bug bounties.

 

 

  • Lido DAO contributors released a comprehensive monthly update on the latest developments involving Lido node operators and validators, covering activities ranging from testnet participation to advancements in the staking module.

 

  • The two final instalments of the insightful Community Staking blog series were published by Lido DAO contributors throughout the month.

 

  • Irina from Everstake provided an insightful thread recap of highlights from the first month of 2024.

 

Stay Connected

To conclude, another chapter is brought to a close in the Lido Monthly Report.

 

To remain continuously updated, be sure to subscribe to receive all upcoming reports. Furthermore, to stay connected with the growing community, follow Lido DAO through the various channels provided below.

 

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