Lido Finance's permissionless validators have achieved 5% of the total value locked (TVL), marking a significant step towards decentralization. The DAO has approved an increase in the cap to 10%, with plans to expand the CSM and prioritize ICS nodes. This move aims to enhance decentralization, reduce correlated risks, and foster healthy fee competition for stETH users. For node operators, while the current CSM is nearly full, the ICS queue remains open.
Key focus areas include the timeline for the 10% cap increase expected early next year, CSM expansion with nine additional slots, transparency in MEV/performance and fees, slashing risk management and insurance, and diversity in clients, regions, and operators. Lido's strategy emphasizes a steady path with strict standards, reinforcing its narrative as $LDO continues to build its ecosystem.
Lido Finance's Permissionless Validators Reach 5% TVL, Targeting 10%
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