After a challenging period with massive selling pressure from funds and stories about liquidity risk, Lido DAO’s stETH has made significant changes recently.
After the crash of 3AC and Celsius, stETH became a fatal weakness when the asset’s liquidity was alerted. However, after 3AC and Celsius filed for bankruptcy, along with liquidation activities to reduce debt leverage, stETH was able to shake off the temporary selling pressure.
On July 18, Lido DAO said it would deploy stETH to Layer-2 solutions, helping this asset have more applications while reducing the cost of interaction for users.
Also, on July 18, FTX announced the listing of transactions for Lido (LDO).
Previously, after taking a vote, the DAO organization canceled the proposal “Limit staking level on ETH 2.0”. This step is expected to help Lido avoid slowing growth in the near future.
The Lido community is also discussing the proposal of Dual Governance, a solution to help increase the application of stETH in the future.
At the time of writing, LDO is also the token with a strong rebound in the market, with a 128.5% increase in the past seven days.
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