It is another day in the crypto space for a new upgrade to help with the Ethereum withdrawals! Lido Finance, which is the largest liquid staking protocol on Ethereum, have upgraded itself to a version 2. This upgrade is a critical change within the system which will be enabling the users to withdraw their Ether from the platform.
Following a successful on-chain vote, Lido V2 is officially here.https://t.co/36EmuagToD
— Lido (@LidoFinance) May 15, 2023
What is Lido V2?
Following the V2 upgrade; Lido Finance brings a couple of exciting new features onto the platform which has two key focal points. They are as follows;
- Withdrawals of Ether: The upgrade of the Lido Finance on the Ethereum protocol is set to allow Lido on Ethereum stakers to burn their staked ETH; i.e. stETH, and exit the protocol with a 1:1 ratio. This will help the users in achieving a key milestone of an open on/off ramp into the Ethereum staking ecosystem.
- Staking Router: This new modular architectural design will also help them in allowing for the development of on-ramps for new Node Operators, which ranges from solo stakers to DAOs and Distributed Validator Technology (DVT) clusters. This will help in creating a more diverse validator ecosystem.
The step to evolve to a version 2 was onset after the community had passed through an on-chain vote along with deliberating over the proposal. The governance vote number 156, which was initiated on May 12, 2023, was ratified today, on May 16, 2023, at the Aragon platform.
The vote for the upgrade was approved and finalized at 1:15 pm ET today. This version 2 of Lido Finance comes hot after the Shapella hard fork on the Ethereum network that took place last month, allowing the staking validators to withdraw Ether.
Read more: Lido V2 Levelling Up for Ethereum Shanghai Upgrade
The Lido ecosystem required an month more in order to facilitate the withdrawals for the multiple security audits that needed to take place.
Join us Friday 14pm UTC to talk all safety measures around Lido V2 upgrade:
– What's being done to make sure the upgrade is safe to perform.
– Audits update.
– Safety checks & emergency triggers.
– General security Q&A.Hope to see you there 🏝https://t.co/2l6gLGL6Qi
— Lido (@LidoFinance) April 19, 2023
Lido DAO contributor and Master of Validators, Isidoros Passadis said, “The launch of Lido V2 represents an architectural evolution of the Lido protocol, ushering in both the ability for stETH holders to natively unstake their stETH in-protocol for ETH. Simple, accessible, and timely withdrawals are a core part of a full-fledged staking product.”
Additional read: Lido DAO Price Prediction
Source: The Block
