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    75% of Lido Finance New Stakers Joined by Staking Project in the Past Month

    The much-anticipated Ethereum Merge, despite delays, has been a boon for Beacon Chain stakers. Lido Finance has been used by a large portion of the new stakers in the consensus layer.

    The project announced in a blog post that 75% of the new stakers to the Beacon chain had used the staking protocol.

    Centralization Concerns

    The Ethereum Merge is approaching and staking on Beacon Chain has intensified, as expected. Lido claims that the blockchain is now protected by more than $35 billion in staked assets. The staking project has contributed a significant share of the total over the last month. This has led to concerns about centralization in the community. Lido acknowledged this and noted it.

    “While this validates our mission to democratize staking in Ethereum, some people have expressed concern that this level of success can make Lido a centralizing force. We hear you, and your concerns are both important to us and valuable to Ethereum as a whole.”

    Lido announced the adoption of Distributed Validator Technology. This system would allow validators to be classified into independent committees that both propose and attest blocks.

    The goal is to reduce the risk of a validator becoming malicious or underperforming. On implementation of DVT, Lido will be able to pair “untrusted node operators” with a majority of trusted node operators, thereby contributing to decentralization without posing a threat to Lido stakers on Ethereum.

    Another enhancement that the staking platform wants to make is the creation a Node Operator Score. This score will be based on various metrics and distributed stake based on it. This scoring system will enable anyone to join Lido as an operator and build up a stake.

    LDO, the native token of Ethereum, has seen a 257% increase in value from $1.36 on February 21st to $4.86 on February 22nd. This was due to LDO’s connection to Ethereum 2.0. It reached this point in only 10 days.

    The traction has been strong but Ethereum Merge will not take place until June of this year. As reported earlier, Ethereum’s leading developer, Tim Beiko, revealed that “The Merge,” touted as a stepping stone for the blockchain, is in its final stages while stressing that the initiative is set to occur later than most anticipate.

    Multiple times the dates were also pushed before. Notably, Beiko previously commented he wouldn’t be surprised if Ethereum 2.0 happens in the fall.

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