Lido, the leading Ethereum liquid staking protocol, is revamping its governance with a system that gives stakers a direct voice in decision-making.
The newly approved two-way structure introduces checks on LDO token holders, who currently control proposals and votes.
Under the update, stETH holders will be able to delay or block proposals by locking their tokens in an escrow contract. If 1% of total staked ETH is deposited, proposals face a 5-day delay. If that climbs to 10%, the proposal is frozen entirely, triggering a “Rage-Quit” mode — where dissenting stakers can exit, or the proposal gets scrapped.
The vote passed with overwhelming support: over 53 million LDOs voted in favor, narrowly passing the 50 million quorum. Only one token holder opposed the change. The final phase of the vote, which allows “No” votes or reversals, ends on June 30.
Ethereum’s Vitalik Buterin backed the move, calling it a vital safeguard against abuse and a way to strengthen staker rights. Lido’s team hailed the shift as one of its most important governance upgrades to date.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.
Source: https://coindoo.com/lido-approves-new-governance-model-empowering-steth-holders/