Lido, the largest liquid stokeing protocol in Ethereum, makes a major overhaul of his government strike. Lido Dao Haive members have unanimously approved a bidirectional governance system that gives stakers (steth holders) the power to delay or veto to Goveerance proposals.
The new BALS system is balanced to the current governance model, where only the LIDO at Maken Homes (LDO) can submit proposals and participate in the vote. The objective is to report to the LDO houses of approval of a proposal that would involve Lido stakers or the Ethereum ecosystem.
According to the new structure, stakers, namely Steth Token, tokens holders will be able to record their objects to a governance proposal by depositing their assets Steth Insto a special “escriptation contract”. If 1% of the total ETH marked is filed in this contract, the relevant proposal will be postponed for 5 days in the first stage. As this rate increases, the postponement period will also be extended.
If a threshold of 10% is exceeded, the offer will be completely “frozen” and the protocol will enter into the “rage-quit” mode. In this case, either during this period, no new offer will be implemented.
The main phase of the vote was completed with 53.6 million LDO voted a “yes”, just above the 50 million LDO quorum. Only one person voted “no” of 1.18 ldos. These results indicate a participation rate similar to the previous votes of Lido Dao.
In the remaining “object” phase of the voting process, only LDO holders have the right to vote “no” or to change their current vote of “yes” to “no” nevertheless, there is a large-scale backup on this stage, the proposal should be finalized on June 30 at 5:00 p.m. (GMT + 3).
The co-founder of Ethereum, Vitalik Buterin, made a declaration taking charge of the bidirectional government. Buterin stressed that this structure creates an independent safety layer “in particular against malicious actions” and allows stakers of Ethereum to post as real rights holders in the Lido ecosystem.
The Lido team described change as “one of the upgrades of the most important protocols of the whole Lido ecosystem”.
* These are not impact advice.