Gate News reports that on March 27, the Lido Growth Committee released a proposal to authorize the use of up to 10,000 stETH from the Lido DAO treasury to gradually purchase LDO through on-chain and off-chain channels, in order to seize the market opportunity presented by the current historical low LDO/ETH ratio.
The background of the proposal indicates that the current LDO/ETH ratio is approximately 0.00016, which is about 63% discounted from the two-year median of 0.00043, while the net income of the protocol has only decreased by about 20% during the same period, showing a significant divergence between fundamentals and price movements.
In terms of execution mechanism, the limit for each batch is set at 1,000 stETH, with a price cap and a maximum slippage tolerance threshold of 3%; a report must be published in the forum after execution before the next batch can be initiated. Trading channels include on-chain (CoW Swap, 1inch, Uniswap) and a certain CEX, and delegated market makers are allowed to execute on behalf of others. All purchased LDO will be returned to the DAO treasury, and no governance voting is allowed during the holding period.
Regarding risks, the proposal identifies the main risks as front-running attacks, smart contract vulnerabilities, market volatility, and exchange fund freezes, and seeks to mitigate these through diversified execution channels, strict threshold settings, and the DAO’s ability to terminate authorization at any time.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Ethereum Processes 200M Transactions in Q1 2026, Up 43% QoQ
Ethereum experienced its highest quarterly transaction volume in Q1 2026 with over 200 million transactions, marking 43% growth from the previous quarter. Layer 2 solutions and stablecoin usage drove this surge, indicating a utility-focused adoption trend.
GateNews1h ago
Ethereum Co-founder Lubin: AI Will Be Critical Turning Point for Crypto, But Tech Giant Monopoly Poses Systemic Risk
Ethereum co-founder Joseph Lubin emphasized the transformative potential of AI for the cryptocurrency sector while cautioning against the risks of centralization among tech giants. He envisions AI-driven autonomous transactions on blockchain and highlights the convergence of traditional finance with DeFi.
GateNews1h ago
ETH falls below 2350 USDT
Gate News bot message, Gate market shows that ETH has fallen below 2350 USDT, with the current price at 2349.73 USDT.
CryptoRadar3h ago
eth.limo DNS Under Attack, Vitalik Urges Users to Pause Access and Switch to IPFS
Vitalik Buterin warned on April 18 about an attack on the DNS registrar for eth.limo, urging users to avoid accessing vitalik.eth.limo and related pages. He recommended using IPFS as an alternative until the issue is resolved.
GateNews7h ago
Arthur Hayes Moves 3,000 ETH to Major CEX, Sparking Sell-Off Speculation
A wallet associated with Arthur Hayes transferred 3,000 ETH to exchanges, sparking speculation about potential selling pressure. While some interpret this as profit-taking, others suggest it may be for repositioning. The crypto community remains divided as traders monitor the situation closely.
GateNews8h ago
