Lido DAO is a project that allows users to stake assets and create nodes in a liquid manner on many blockchains, especially Ethereum. LDO token is the native token of the platform and is used for determining voting rights, fee amount and distribution in governance on the platform, and for network supports to be added. It offers the right to governance.
Lido Dao Project
Lido DAO is a platform that started its operations in 2020 and allows easy creation of nodes on many blockchains. With Lido, users can become network participants in a liquid way and earn additional income from their assets.
On Lido, staking is mainly done on Ethereum. For these staking transactions made through Lido, users are given liquid stETH tokens, which represent the assets they stake. This token exactly represents the Ether staked on the network. Since the received stETH is liquid, it can be sold or used as collateral at any time.
How Does Lido DAO Work?
The Lido project is basically managed by Lido DAO. DAO members manage Lido to ensure efficiency and stability on the platform. Lido DAO has specific tasks for efficiency and stability. These:
Establishing, distributing, updating and deciding on the basic parameters of liquid staking protocols, approving incentives for parties contributing to the goals of the DAO Management of node operators.
Approving LEGO grants to support different research and therefore initiatives protocol guilds Payments to full-time contributors and other operational duties Security, bug bounty program, emergency response. The accumulation of service fees from Lido that can be transferred to insurance and development funds distributed by the DAO.
Lido DAO Founders and Establishment
Lido DAO was established in December 2020 and first enabled staking transactions on the network for Ethereum’s transition to the Proof of Stake algorithm. After its establishment, the platform has received serious support and investment from leading investors in the cryptocurrency and blockchain world.
Lido investors and supporters include many institutions and investment firms such as Semantic VC, ParaFi Capital, Libertus Capital, Terra, Bitscale Capital, StakeFish, Staking Facilities, Chorus, P2P Capital and KR1. Although Lido DAO has a founding team and investors, governance on the platform is done in a decentralized manner through DAO.
What Makes the Lido DAO Project Different?
The Lido DAO project stands out with its large participant base and simple interface compared to other competitors in the cryptocurrency world. Lido DAO, which is a platform that allows liquid staking on many chains, especially the Ethereum blockchain, also stands out with the governance model it has established.
Lido project has a very useful and extensive infrastructure for the liquid staking sector and blockchains. When the large supporter and investor base is added to this advantage, it has a significant difference and advantage compared to its competitors.
Visits: 22
