Lido Monthly Report: May 2024

in Reports by Lido

Welcome to the May 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 Lido.

 

For previous editions of the Lido Monthly Report, check out 'Reports'.

 

TLDR:

  • Total Value Locked (TVL) surged by over 26% due to rising ETH prices and increased deposits.
  • Over 50,000 new stETH holders have been recorded in the past two months.
  • wstETH availability decreased on Arbitrum and Optimism but saw a significant increase on Base.
  • Two successful Snapshot votes were passed: reGOOSE and Lido Alliance.
  • wstETH can now be used to pay for gas fees on txSync, further enhancing its utility as a liquid staking token.
  • Four proposals have been submitted for Snapshot voting at the end of the month, including the addition of the first two Lido Alliance members.
  • The latest VaNOM report has been released, covering key metrics and developments of Lido Validators and Node Operators for Q1 2024.

 

Lido Performance

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

 

 

  • Following the rapid increase in the ETH price and a concurrent rise in ETH deposits, Lido's Total Value Locked (TVL) surged by over 26%.
  • With almost 15,000 ETH stakers opting to use the Lido middleware for the first time this past month, it seems poised to surpass the 300,000 milestone by the end of June.
  • Following on from April trend, incentives for stETH and wstETH liquidity providers (LPs) continued to decrease by over 61%.

 

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 May.

 

 

  • It is important to note that these metrics also include wstETH - the wrapped, non-rebasing version of stETH.
  • stETH adoption has increased significantly, with over 50,000 new holders in the past two months.
  • While wstETH availability dropped on popular Layer 2 networks Arbitrum and Optimism, Base saw a surge of 29% in wstETH on its network.

 

Governance

In this section, notable proposals from the Research Forum and their progress through the voting processes on Snapshot and Aragon are presented.

Despite several recently successful Snapshot votes, none of them reached the Aragon stage during the month of May. As per the governance voting schedule, the next Aragon Omnibus vote is only scheduled for June.

For a better understanding of the Lido DAO governance process, please click here.

 

Snapshot

Among the various Research Forum proposals considered and deliberated upon during the past month, two proposals were subjected to Snapshot votes:

 

  1. ReGOOSE - Updated Lido DAO Goals: details

This proposal suggested updating Lido's GOOSE goals for 2024 to emphasize security and decentralization, reaffirm stETH as an LST, and add new goals such as participating in Ethereum staking research and supporting validator services. It aims to make stETH the most utilized token in the restaking market while maintaining its core objectives.

Proposal Outcome: Successful ✅

 

2. Lido Alliance - An Ethereum-Aligned Ecosystem: details

This proposal introduced the Lido Alliance framework to support protocols focused on security and decentralization, with a dedicated workgroup for assessing and guiding potential new members. An Alliance Workgroup, a new legal entity, and a temporary Alliance Development Committee will be established to facilitate the onboarding of aligned projects.

Proposal Outcome: Successful ✅

 

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 middleware, further expanding the reach and impact of its liquid staking tokens.

 

Integrations

  • txSync, a zkSync protocol, announced that its users can now pay gas fees using wstETH, further enhancing the utility of Lido's wrapped liquid staking token.
  • Router Protocol has launched the Lido Staking Adapter, which simplifies liquid staking through the Lido middleware with a single dApp and one-click functionality.
  • Alchemy Pay now offers a fiat On-Ramp for stETH, allowing users to easily buy and sell stETH with its integrated solutions.
  • Lynex, a Linea DEX, is incentivising wstETH/wETH liquidity (Gamma-correlated) with farming rewards throughout the month of June.

 

Blogs

  • This blog provides a comprehensive overview of the recently successful reGOOSE and Lido Alliance proposals, detailing the objectives and significance of each initiative.

 

  • This blog details the key metrics and past developments of the Lido Validators and Node Operators for Q1 2024.

 

Additional

  • Four significant proposals were submitted for Snapshot votes at the end of May, covering the inclusion of the first two Lido Alliance members, the expansion of the Simple DVT module, and the enhancement of protocol security through negative rebase sanity checks.

 

  • Lido DAO contributor Vasiliy Shapovalov and advisor Hasu recently featured on the 0xResearch podcast, delving into topics such as the reGOOSE proposal and developments within the Ethereum staking space.

 

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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