Lido sees around 100k increase in staked Ethereum amid SEC scrutiny

Lido has reported a emergence successful staked Ethereum connected its level contempt the US Securities and Exchange Commission (SEC) classifying its staking programs arsenic securities successful its lawsuit against Consensys.

Staked Ethereum increase

A July 2 study showed that Lido users staked an further 95,616 ETH betwixt June 24 and July 1. This accrued the full worth of assets staked connected the level by 1.26%, reaching $33.48 billion.

During this period, Lido led successful nett Ethereum deposit inflows, surpassing centralized exchanges similar Binance and Gate.io and the rapidly increasing liquid restaking task Ether.fi.

Lido stETH TVL (Source: Lido)

The level besides revealed important enactment successful its wrapped staked ETH (wstETH) connected Layer 2 networks similar Scroll, Base, Arbitrum, Optimism, etc. The full fig of assets connected these blockchains accrued by 7.19% to 141,586, bringing the 7-day trading measurement to $1.23 billion.

However, the Annual Percentage Rate (APR) for staked ETH decreased slightly, dropping 0.04% to 2.96%.

Node decentralization

Lido is enhancing decentralization efforts by launching a Community Staking Module (CSM) to beforehand much decentralized Ethereum node operations.

According to authoritative documentation, CSM volition integrate a divers scope of Node Operators, including Solo stakers, into the network. The module volition besides let permissionless introduction for node operators. It added:

“The eventual extremity for this module is to let for permissionless introduction to the Lido connected Ethereum Node Operator acceptable and enfranchise solo-staker information successful the protocol, expanding the full fig of autarkic Node Operators successful the wide Ethereum network.”

This determination would people a wide departure from its erstwhile approach, which required its DAO to o.k. a caller node relation earlier its summation to the platform. However, its existent inaugural would let solo staking to go much charismatic and accessible for involvement validators by introducing “reasonably debased enslaved for Node Operators” and requiring “no secondary token collateral.”

The module is successful aboriginal adoption mode connected the Holesky testnet and is expected to modulation to a permissionless authorities connected July 11, 2024.

The station Lido sees astir 100k summation successful staked Ethereum amid SEC scrutiny appeared archetypal connected CryptoSlate.