If I continue to rank DeFi, I will place Lido very near the top.
The reason is simple: it captures the most fundamental revenue channel in ETH staking. Aave handles borrowing and lending, Uniswap handles trading, and Lido handles staking. As ETH continues to move further toward reserve assets and collateral assets, the staking market will only become more and more important.
But Lido’s problem is also very clear: the stronger it becomes, the more likely it is to trigger market concerns about concentration. Because it is not a typical application—it’s a layer in the ETH ecosystem that’s close to infrastructure.
So my understanding of Lido is that it is crucial, but also sensitive. It’s not the kind of project that lives on narratives—it’s the kind of underlying protocol that will be discussed again and again as the ETH ecosystem keeps expanding
$LDO
#BTC
The reason is simple: it captures the most fundamental revenue channel in ETH staking. Aave handles borrowing and lending, Uniswap handles trading, and Lido handles staking. As ETH continues to move further toward reserve assets and collateral assets, the staking market will only become more and more important.
But Lido’s problem is also very clear: the stronger it becomes, the more likely it is to trigger market concerns about concentration. Because it is not a typical application—it’s a layer in the ETH ecosystem that’s close to infrastructure.
So my understanding of Lido is that it is crucial, but also sensitive. It’s not the kind of project that lives on narratives—it’s the kind of underlying protocol that will be discussed again and again as the ETH ecosystem keeps expanding
$LDO
#BTC