Lido V2 Mainnet Launch
V2 Upgrade / Ethereum Withdrawals are Live
Following a successful on-chain vote, Lido V2 is officially live on Ethereum mainnet. As the most important upgrade to the Lido protocol to date, Lido V2 significantly improves the Ethereum staking experience whilst pushing the Lido protocol further down the road towards increased protocol decentralization.
Lido V2 introduces two major components, with the most user-facing aspect being Ethereum withdrawals. This allows Ethereum stakers with Lido to directly unstake ETH through the protocol.
What is Lido V2?
The Lido V2 upgrade brings a host of exciting new features to the platform with two key focal points:
- Withdrawals: The Lido on Ethereum protocol upgrade allows Lido on Ethereum stakers to burn their stETH and exit the protocol at a 1:1 ratio, achieving a key milestone of an open on/off ramp into the Ethereum staking ecosystem.
- Staking Router: The new modular architectural design allows for the development of on-ramps for new Node Operators, ranging from solo stakers to DAOs and Distributed Validator Technology (DVT) clusters. This will create a more diverse validator ecosystem.
The upgrade implemented several other changes, with the most notable being a significant rewrite of the Oracle smart contract and off-chain daemon software. This was required to support the withdrawals functionality and enable an order of magnitude more Node Operators.
For more information on Lido V2, check out Introducing Lido V2.
Ethereum Withdrawals With Lido
Most notably, Lido V2 adds functionality for in-protocol ETH withdrawals.
As an extension of the recent Ethereum Shapella Upgrade, withdrawals streamline the Lido staking experience and allow users to unstake their ETH directly from the Lido protocol.
This lowers a number of previous inconveniences surrounding the Lido on Ethereum staking experience and allows for a more efficient use of Lido’s staked ETH throughout the Ethereum DeFi ecosystem.
For additional information on the Ethereum withdrawal process, see below:
- Ethereum Withdrawals: Overview + FAQ
- Lido Withdrawals: Help Centre
- Just How Fast Are Ethereum Withdrawals Using Lido?
To ensure confidence, Lido V2 underwent multiple security audits, including Sigma Prime auditing the updated dc4bc version, ChainSecurity auditing the Staking Router code, and audits by Oxorio, Statemind, HEXENS, MixBytes(), and Certora.
This protocol upgrade made Lido on Ethereum feature-complete by allowing stETH to Ether withdrawals and opened up opportunities for experimentation and collaboration with the Staking Router architecture.
We're thrilled to share the progress of Lido V2 with our community, and we look forward to seeing how these new features will enhance the staking experience for our users.
As always, we remain committed to providing a secure and reliable protocol for staking ETH, and we're excited to continue building on this foundation in the months and years to come.
To learn more about the V2 upgrade and its features, check out our Introduction to V2, which provides a detailed overview of the V2 protocol changes.
For any questions, stop by the Lido Discord.