Lido DAO Proposes Selling or Staking Its $30M in ETH
• Lido DAO is a governing body behind the largest Ethereum staking provider.
• It proposes to sell or stake its 20,304 ETH (worth around $30 million) currently held in the treasury.
• If Lido DAO decides to sell the ETH, it will be used to secure additional runway in current market conditions.
Current Situation of Lido DAO
Lido DAO (LDO), the governing body behind the largest Ethereum staking provider, is considering what to do with its treasury ether ahead of Shanghai upgrade which will enable ETH staking withdrawals. On February 14, Steakhouse Financial, the branch responsible for managing the treasury proposed three plans concerning their 20,304 ETH and surplus stETH holdings. The 20,304 ETH is worth around $30 million and if sold for a stablecoin, would provide additional funds to secure runway in current market conditions. The DAO also holds $20.1 million in DAI and has a monthly run rate of $1.3-$1.5 million. As an alternative option, Lido DAO might decide to sell part of their ETH and stake what’s left instead.
ENS DAO Proposal
Ethereum Name Service (ENS) DAO recently passed a proposal to sell 10,000 ETH ($13 million). This was done as they wanted to decrease their exposure to ETH which had made up almost 100% of their treasury holdings at that time.
Voting on Proposals yet To Start
The voting on these proposals has not started yet as Lido continues assessing various options regarding what should be done with their treasury holdings before Shanghai upgrade releases staking withdrawals feature.
As users may find it interesting how Lido manages its treasury and adjusts itself according to current environment in crypto world; this article provides information about how one can make use of selling/staking decisions for betterment of overall financial situation for oneself or organization alike .