Lido (LDO) Unlocks 99.97% of Total Supply

Leading the field in liquid staking, Lido Finance (LDO) has completed its final scheduled token unlock, bringing circulating tokens to 99.97% of the total supply.

Lido (LDO) Unlocks 99.97% of Total Supply. Source: Lido Twitter

According to data from Token Unlocks, Ethereum's top liquid staking protocol, Lido (LDO), conducted its final scheduled token unlock for investors on August 25.

Following this unlock, a total of 999.7 million LDO tokens have been brought into circulation, accounting for 99.97% of the total supply.

Unlock Schedule for Lido (LDO). Source: Token Unlocks

The remaining tokens, constituting 0.03% of the total supply, are under investment agreement with Dragonfly Capital since August 2022. These tokens are expected to complete unlocking by April 2024, making LDO a fully unlocked token.

Unlocking the entire total supply is expected to significantly reduce selling pressure from funds, which is anticipated to no longer weigh heavily on Lido.

However, risks remain as per tokenomics, where Lido's DAO treasury holds 25.3% of the total supply and may potentially sell tokens in the future to cover operational expenses, as seen in the agreement with Dragonfly Capital.

According to DefiLlama data, Lido remains the top liquid staking protocol on Ethereum with a TVL (Total Value Locked) nearing $13.9 billion. Ether locked via Lido totals 8.38 million ETH, capturing nearly 74% of the liquid staking market share and surpassing competitors like Coinbase and Rocket Pool.

In early August 2023, Lido's TVL approached $15 billion, setting a record for the highest value to date.

Leading Liquid Staking Protocols on Ethereum Statistics. Source: DefiLlama (08/26/2023)

Despite this, LDO's price has mirrored the overall downtrend in the cryptocurrency market. LDO currently ranks as the world's 35th largest cryptocurrency with a market capitalization of $1.58 billion.

1-day chart of LDO/USDT pair on Binance at 10:25 AM on August 26, 2023