Lido Gives Users Withdraw stETH A Transferable NFT Like A Receipt Web3

May 19, 2023 - Around 3 mins mins to read

Key Points:

Users who make an stETH withdrawal request on Lido Finance receive an NFT as a Web3 receipt.
The special thing is that these NFTs can be traded on the secondary market and are transferable.
The number of requests for withdrawal processing of the protocol is recording at a peak of 686 requests

According to Nansen, Lido Finance will send users an NFT as a Web3 receipt when the recipient submits a request to withdraw their staked ETH.

Lido Gives Users Withdraw stETH A Transferable NFT Like A Receipt Web3

Nansen, a blockchain analytics company, has released a document stating that after Lido Finance submits a request to withdraw stETH, users will receive NFTs. Once the withdrawal request is accepted, the NFT image will be updated, and the withdrawal will be notified. Subscribers, and users can use this NFT as a Web3 withdrawal receipt.

Did you know that when someone makes a @LidoFinance withdrawal request, they receive an NFT?

And once the request is available to be claimed, the NFT's image is updated to notify the holder

You can think of it as a web3 receipt pic.twitter.com/auOp48MM7v
— Nansen ???? (@nansen_ai) May 17, 2023

According to information revealed by Twitter @lido_intern, the ETH withdrawal NFT offered by Lido Finance is transferable, meaning users can send it to any ETH wallet they wish to receive without being stolen.

Besides, these NFTs can be traded on the secondary market, as the next NFTs in the queue will be traded at a higher rate as some investors will pay more for faster withdrawals.

THEORETICALLY SPEAKING, these NFTs could be traded on a secondary marketplace, as the NFTs further up in the queue should expect to trade at a premium since some stakers will pay more to withdraw faster.
— Lido Intern (@lido_intern) May 18, 2023

At the end of May 15, Lido Finance successfully upgraded to version V2 – a significant change that allows users to withdraw staking Ethereum from the platform. Previously, the protocol opened voting on the implementation of V2 on May 12.

The V2 upgrade is considered the most important update on this protocol after the Shapella hard fork last month to unlock large amounts of ETH for investors. Since then, Lido V2 has been continuously tested and undergone 9 rigorous evaluations.

With V2, will be 270,000 ETH available in the Withdrawals vault, so investors can make withdrawal requests without waiting too long. After this amount of ETH is drained, the vault will continue to be pumped more. In other words, investors have a better chance of returning their ETH in the first three days of unlocking, Lido said. The maximum time to exit the queue is 5 days and 14 hours, Rated network explorer estimates.

Therefore, since the upgrade, there have been 686 withdrawal requests totaling over 451k stETH. This amount is expected to increase still, especially after the large institutions that invested in Lido start processing withdrawals.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your research before investing.

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