Lido Launches Vote on Deployment of Second Version of Protocol on Ethereum

Lido Finance has launched a vote to launch version 2 of its liquid staking platform on the Ethereum network, which the developers call “the most important update” since the project’s launch in December 2020.

This update will allow stETH tokens to be redeemed for Ethereum, with about 270,000 ETH available in the platform’s storage to ensure withdrawal requests can be processed quickly.

DeFi Llama currently estimates that about $12.35 billion in digital assets are locked on the platform.

The Version 2 will also feature a Staking Router, designed to diversify the set of validators, which the developers believe will improve the protocol’s decentralization, efficiency, and provide a much-needed opportunity to withdraw funds, making stETH the most composable and useful asset in Ethereum.