Ethereum-based Liquid Staking Derivatives (LSD) platform Lido DAO (LDO) is leading the altcoin momentum today following its 8% growth to $2.10. The digital currency, known as the native token of the platform that has come through for Ethereum stakers long before the Shapella Upgrade, has been seeing impressive price action lately.
LDO growth trigger
The current growth is being fueled by the positivity in the Lido ecosystem following the launch of Lido V2. The Lido V2 protocol is a major upgrade that has been in the works for quite some time now and, as it went live, it introduced two major features, including withdrawals and a staking router.
The Lido V2 protocol is a timely one as the withdrawal feature helps users to withdraw their staked Ethereum tokens directly from the LSD platform. Since Ethereum withdrawal is one of the biggest demands from the Ethereum community at the moment, launching this new feature is just a way to show its community that it is more aligned to their needs and ease of participation in core DeFi investment services.
Lido DAO said the V2 protocol underwent a series of security checks to guarantee its safety just before launch. Some of the core security outfits that worked on the protocol include Sigma Prime and ChainSecurity.
Investors' reaction to Lido V2
As showcased by the current price action of the LDO token, investors within the Lido DAO ecosystem are notably very hyped by this new upgrade, with data showing whales have been on an accumulation streak starting from about a week ago.
It is not uncommon to find DeFi projects gaining additional backing from High Network Individuals (HNI) following the release of any major landmark upgrade. For protocols like Aptos and Filecoin, the same accumulation streak was recorded when their latest upgrades were implemented.