The Lido liquid staking protocol has enabled Ether withdrawals for the first time, following an upgrade to version two. Before the upgrade, Ethereum did not allow validators to withdraw their Ether held in the staking contract. Over $500,000 worth of ETH was withdrawn in the first three hours of withdrawals being enabled.
– Lido is a liquid staking derivatives (LSD) protocol that allows ETH holders to stake their coins with participating validators and earn additional ETH as a reward.
– The Lido decentralized autonomous organization voted to upgrade Lido to version two, allowing withdrawals for the first time.
– Liquid staking solutions have gained in popularity since the Shapella upgrade, becoming the top decentralized finance category in terms of total value locked.
