What is Lido?
Lido is a liquid staking protocol for Ethereum that allows users to stake ETH and receive stETH in return, which can be used in DeFi. The protocol is designed to be secure, decentralized, and resilient, with a focus on geographical and client diversity among its node operators. Lido has over 700 node operators and has paid out over $1.6 billion in rewards since 2020.
Benefits of using Lido
Using Lido, blockchain users can earn staking rewards while preserving liquidity through stETH tokens, which can be traded or used in DeFi protocols. The platform eliminates the need for technical expertise or expensive infrastructure by pooling ETH and delegating it to professional validators, making staking accessible to a broader audience. Additionally, Lido's decentralized governance ensures transparency and community-driven decision-making, enhancing user trust and protocol resilience.
