About Lido DAO (LDO)
Lido DAO is a liquid staking protocol built on the Ethereum network that enables ETH staked for ETH2 during the initial phase of the Merge to be staked in other protocols. This is a significant use case because, since the proof-of-stake (PoS) Beacon Chain launched in December 2020, any ETH staked on Ethereum had been locked and unavailable for use outside of its staked position.
With the help of its network cryptocurrency, LDO, Lido DAO enables staked Ethereum to be reflected as stETH, thereby allowing its liquidity to be staked in other protocols. Post the Ethereum Merge of 2023, Lido continues to pool user ETH into validator nodes, allowing anyone to participate in staking regardless of their individual ETH holdings.
LDO is used as a network governance token on the Lido platform. The LDO token is the key to Lido DAO's governance and its value is tied to the success of the platform. LDO holders can vote on proposals that affect how Lido DAO operates, such as fees, adding new staking assets, and choosing node operators. A portion of the fees Lido charges on staking rewards is used to buy back and burn LDO tokens. This can increase the value of LDO over time as supply decreases.
LDO is also used to incentivized various participants like protocol developers, node operators, and users to contribute to its growth. LDO price is updated and available in real time on Binance.
