What is Lido DAO?
Lido DAO is a decentralized autonomous organization (DAO) providing liquid staking services for Proof-of-Stake (PoS) blockchains. Through the Lido Finance protocol, users can stake tokens (e.g., ETH) and receive in return a staked token (such as stETH), allowing them to earn staking rewards while maintaining liquidity.
Whitepaper: https://www.lcx.com/ldo-mica-white-paper/
How does Lido DAO work?
Users deposit assets such as ETH into Lido’s smart contracts. The protocol delegates these assets to a curated set of validator operators, and in return the user receives a liquid staking token (e.g., stETH) representing their staked assets plus accumulated rewards. This token remains tradable, can be used as collateral, or deployed in DeFi, while the staked ETH continues to generate rewards. Governance is handled by LDO token holders who vote on key decisions such as fees, validator selection, and protocol upgrades.
The token
- Abbreviation: LDO
- Category: Governance token of a liquid staking protocol (DAO)
- Blockchain: Based on Ethereum (ERC-20) for the LDO governance token; operates across multiple PoS networks for staking services
- Protocol: The Lido protocol enables liquid staking by issuing a representative token (like stETH) in exchange for staked assets. Governance occurs via the Lido DAO.
- Year of launch: Late 2020, shortly after the Ethereum Beacon Chain went live.
The technology behind Lido DAO
At its core, Lido uses liquid staking technology. Instead of locking up assets directly for staking (which can require 32 ETH and technical setup), users can stake via Lido and receive a representative token that remains tradable and usable in DeFi. The protocol distributes staked assets among multiple validator operators to spread risk and relies on DAO governance through Aragon.
The Lido DAO ecosystem
The ecosystem includes:
- Liquid staking across multiple PoS networks (starting with ETH)
- Governance via the LDO token
- Staked assets represented by tokens such as stETH, integrated in DeFi protocols for lending, trading, and collateral
- A decentralized validator network
Initiatives such as Lido Impact Staking, launched in January 2025, supporting social and environmental causes through staking rewards
Who is the founder of Lido DAO?
Lido DAO was founded in 2020 by a group of developers and investors from the Ethereum and DeFi space. Notable early contributors include Jordan Fish (CryptoCobain) and Vasiliy Shapovalov.
Impact on the environment
Click here to read more information about the environmental impact of this coin.
Risk disclaimer
Cryptocurrencies, including Lido DAO (LDO), are volatile and carry risks. The value of LDO can fluctuate greatly and investments can lead to financial losses. Always do your own research and only invest money that you are willing to lose.
For more information, consult the crypto asset whitepaper which includes information about the provider, information about the crypto asset, information about the risks and information about the impact of the asset on the climate; https://www.lcx.com/ldo-mica-white-paper/
The BTC Direct disclaimer van be found here.