Lido Liquid Staking allows users to stake their assets on Proof-of-Stake (PoS) blockchains while maintaining liquidity. Here’s how it works:
Staking Without Lockup: Normally, when you stake assets on PoS blockchains, they are locked and cannot be accessed until the staking period ends. Lido solves this by issuing tokenized versions of staked assets, called stAsset tokens, at a one-to-one ratio.
Liquidity & Flexibility: These stAsset tokens (such as stETH for Ethereum) can be freely traded, transferred, or used in decentralized finance (DeFi) protocols for lending, yield farming, and other financial activities2.
Decentralized Governance: Lido operates as a decentralized autonomous organization (DAO), meaning holders of its governance token LDO can vote on protocol decisions.
Validator Network: Instead of requiring users to run their own staking infrastructure, Lido delegates staked assets to multiple validators, ensuring security and decentralization.
Withdrawals & Upgrades: With the launch of Lido V2, users can now withdraw their staked ETH at a one-to-one ratio, enhancing accessibility.
Would you like to explore how to start staking with Lido? 🚀 https://v3-lido.biz
Comments
Post a Comment