Lido Finance drops Solana staking after DAO decision

Over 92% of Lido’s community chose to discontinue the product

article-image

ravipat/Shutterstock modified by Blockworks

share

Lido Finance, known for its liquid staking solution, will no longer accept new staking requests for Solana tokens. This comes after Lido token owners voted in large numbers to pause the service.

After many discussions on the Lido DAO forum, the token holders chose to gradually end the use of the protocol on Solana.

“After much discussion and a vote by Lido DAO members, it was decided that the best course of action would be to wind down Lido on Solana,” the team said in a blog on Monday.

“Whilst this decision was difficult in the face of numerous strong relationships across the Solana ecosystem, it was deemed a necessity for the continued success of the broader Lido protocol ecosystem,” they added.

The decision to phase out Lido on Solana occurred following a proposal submitted to the Lido DAO by the development team, P2P Validator, in early September. 

This proposal detailed the successes, obstacles and potential future of Lido on Solana.

The P2P team laid out two distinct paths for consideration. One option proposed keeping Lido on Solana running, with Lido DAO’s financial support. This plan called for $200,000 every quarter for development, $600,000 per year for marketing and $100,000 for customer support, totaling $1.5 million over the next 12 months.

The other option was to simply end, or “sunset,” Lido on Solana, taking the project in a different direction.

Since taking over, the P2P team spent around $700,000 on Lido on Solana, earned $220,000 and faced a loss of $484,000, according to the proposal’s author, Yuri Mediakov.

More than 92% of the Lido community voted to end the product rather than keep it going, according to a vote that closed on Oct. 5.

Read more: Rebuilding trust: Solana’s roadmap after a challenging year

Those holding stSOL, Lido’s tokenized version of staked Solana (SOL), will continue to receive network rewards throughout the sunsetting process. Support for the Lido on Solana Frontend will end on Feb. 4.

Solana’s native token SOL has dropped over 21% in the last 12 months, and last traded around $24.41 on Tuesday, according to data from Blockworks Research.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Brooklyn, NY

SUN - MON, JUN. 22 - 23, 2025

Blockworks and Cracked Labs are teaming up for the third installment of the Permissionless Hackathon, happening June 22–23, 2025 in Brooklyn, NY. This is a 36-hour IRL builder sprint where developers, designers, and creatives ship real projects solving real problems across […]

recent research

Nillion_DeSci_Report_Template.png

Research

Nillion’s Monad Integration is poised to catalyze the next phase of DeSci’s evolution by eliminating key privacy bottlenecks. This synergy allows researchers, institutions, and DAOs to exchange sensitive data and insights securely while managing governance and payments onchain.

article-image

Blockworks Research also thinks that net new assets (NNAs) are a metric to keep an eye on

article-image

The Republican-sponsored GENIUS Act has passed a key procedural vote in the US Senate. 

article-image

Cash enables law evasion at a small scale and crypto enables it on a large scale

article-image

Vibe coders are shipping faster than you think

article-image

A downgrade from Moody’s had US Treasury yields on the rise, but history says the volatility should be short-lived

article-image

The game offers 1v1 battles, plus optional NFTs and wagering