Lido Finance remained somewhat unnoticed lately, with market players concentrating on Ethereum and the much-awaited Merge. However, Lido is printing strides within the decentralized finance (DeFi) marketplace, with its liquidity staking networks being more eye-catching than ever. Furthermore, analysts expect staking providers like Lido to flourish as the ETH Merge approaches.
Experts expect Lido’s revenue to increase by 60-70% amidst surging staking yields. Furthermore, investors staking Ethereum will not withdraw cash until six to twelve months after the Shanghai fork. That period would see StETH growing, meaning Lido Finance has secured a lucrative revenue stream. As the yields will surge, the staked amount might also increase. Such developments will push the projections above even higher.
More Still Awaits
If that isn’t enough, Lido has revealed its proposal about Treasury Diversification, working with DragonFly. The latest terms show DragonFly will take 1% of the offered 2%. The proposal has seen sizeable acceptance within the Lido Finance community, with more than 26 million voting in support of the proposal.
LDO accounts for most of Lido’s treasury, meaning the treasury highly relies on the altcoin’s price performance. That means an LDO price slump could be critical for Lido Finance’s existence. The coin’s sale for DragonFly aimed to diversify the Lido DAO’s treasury, which is still underway following the initial proposal rejection.
Also, Lido has announced its weekly outcomes. Lido’s decentralized finance TVL touched $7.49% 48 hours ago, following a 7.6% price hike within the week. The report attributed the mentioned growth to ETH’s dramatic price surges in recent days. Another reason could be the liquid staking increase on Lido networks. MATIC holdings presented the highest increase of 17.4% within the week, while Solana followed with its 14.4%.
What Next for LDO
What do the underway Merge and improved development mean for Lido’s native coin, LDO? Well, the altcoin led gainers in July, surging a staggering 398% since July 1. While publishing this content, LDO traded at $2.33. Analysts expect the alternative token to remain elevated as we near the Merge.
What are your opinions about the above content? You can share your thoughts in the comment sections below.