The price of LDO, the native token of Lido Finance, dropped by approximately 10% earlier today after weeks of demand for Ethereum staking services and anticipating the Merge.
The native token to Lido Finance has fallen, this is the biggest financial decline among the top 100 cryptocurrencies available for purchase. But since today’s low of $1.91, it has increased to about $2 as of press time.
The liquid staking solution for Ethereum, Polygon, Solana, and other cryptocurrency networks is Lido Finance. The DAO platform, which was introduced in December 2020, offers a competitive yield of 3.8% for ETH deposits without the need for infrastructure that can support a whole sector.
Liquid staking is the practice of investing in a cryptocurrency like Ethereum and receiving a different token that may be utilized elsewhere on the market in return (hence the word liquid).
According to Dune Analytics statistics, the amount of Ethereum deposited per week has decreased to 33,204. The happy highs of March and April of this year, when staking on the Beacon chain remained above 237,000 for nine out of ten straight weeks, stand in stark contrast to this.
The much-awaited switch to proof-of-stake for Ethereum has been set for September 15. The occasion, also known as the Merge, has also prompted activity among a number of exchanges, with some even pledging backing for a possible split Ethereum coin known as ETHPOW.
The Ethereum Foundation estimates that the change will increase the network’s energy efficiency by 99.95%. However, following the integration, Ethereum’s plan will only be about 55% complete, as co-founder Vitalik Buterin stated in July.
In contrast, the Bitcoin community claims that it is more than 80% developed.
