Lido DAO

Lido dev team recently shared the plan for the Merge-ready protocol upgrade (see the “Discussion” link).

The main change required for the protocol to face The Merge is the ability to collect & redistribute post-Merge reward streams. At the same time, there are multiple protocol safety net improvements to be implemented along with this change, increasing the protocol resiliency & stability. Those are highly desired as the Lido has come past the 4m ETH staked threshold.

Below we list all the changes of the “Merge-ready protocol service pack”:

Major features

• LIP-12: On-chain mechanism for rewards distribution after the Merge
• LIP-6: In-protocol coverage application mechanism
• LIP-14: Protocol safeguards. Staking rate limiting

Minor features

• LIP-7: Composite oracle beacon report receiver
• LIP-8: Increase keysOpIndex in assignNextSigningKeys
• LIP-9: Add an explicit log for the stETH burn events
• LIP-10: Proxy initializations and LidoOracle upgrade
• LIP-11: Add a transfer shares function for stETH
• LIP-15: Protocol safeguards. Resume role

The changes are implemented with the following PR in the official Lido DAO repository: https://github.com/lidofinance/lido-dao/pull/401.

The on-chain code is peer-reviewed internally and audited by the MixBytes team.

Do you support the proposed ‘Merge-ready protocol service pack’ to upgrade the Lido protocol on Ethereum?