{"id":18117,"date":"2023-02-27T08:43:53","date_gmt":"2023-02-27T08:43:53","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/lido-finance-triggers-staking-rate-limit-after-150k-eth-gets-staked-in-a-day\/"},"modified":"2023-02-27T08:43:53","modified_gmt":"2023-02-27T08:43:53","slug":"lido-finance-triggers-staking-rate-limit-after-150k-eth-gets-staked-in-a-day","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/lido-finance-triggers-staking-rate-limit-after-150k-eth-gets-staked-in-a-day\/","title":{"rendered":"Lido Finance triggers \u201cstaking rate limit\u201d after 150K+ ETH gets staked in a day"},"content":{"rendered":"<p><b>(Originally posted on : CoinJournal: Latest Bitcoin, Ethereum &amp; Crypto News )<\/b><br \/>\n<\/p>\n<div>\n<div class=\"post-article-image  -mt-24  mb-8  lg:-mt-32  rounded  overflow-hidden\">\n<picture><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/1970\/01\/1677481540594-3d5dcedd-54d1-4bf9-a712-072c02e33d52-smartcrop-750x375.webp\" type=\"image\/webp\" media=\"(min-width: 750px)\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/1970\/01\/1677481540594-3d5dcedd-54d1-4bf9-a712-072c02e33d52-smartcrop-363x181.webp\" type=\"image\/webp\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/1970\/01\/1677481540594-3d5dcedd-54d1-4bf9-a712-072c02e33d52-smartcrop-750x375.jpg\" type=\"image\/jpeg\" media=\"(min-width: 750px)\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/1970\/01\/1677481540594-3d5dcedd-54d1-4bf9-a712-072c02e33d52-smartcrop-363x181.jpg\" type=\"image\/jpeg\"\/>\n<\/picture>                    <\/div>\n<ul>\n<li>The highly anticipated Ethereum Shanghai upgrade is only days away now.<\/li>\n<li>The Shanghai upgrade is causing a lot of activity on Lido finance.<\/li>\n<li>The \u201cstaking rate limit\u201d was activated after the daily staking limit of 150,000 Ether was reached.<\/li>\n<\/ul>\n<p>As reported in our earlier news, the Lido Finance protocol is witnessing a surge in activity amid the upcoming <a href=\"https:\/\/coinjournal.net\/news\/ethereums-shanghai-capella-network-upgrade-is-slated-for-feb-28\/\">Ethereum Shanghai\/Capella upgrade<\/a>. The rise in activity mainly attributed to increasing ETH staking has consequently caused the <a href=\"https:\/\/coinjournal.net\/lido-dao\/\">price of Lido Dao (LDO)<\/a>, the native token of Lido Finance, to hike considerably over the past few days.<\/p>\n<p>At press time, LDO was trading at around $3.09, up 4.09% in the past 24 hours.<\/p>\n<h2>\u201cStaking Rate Limit\u201d activation<\/h2>\n<p>Lido Finance had to activate its \u201cStaking Rate Limit\u201d safety feature after over 150,000 ETH tokens were staked in a single day on February 25. According to a <a href=\"https:\/\/twitter.com\/LidoFinance\/status\/1629435773920374785?s=20\">tweet by Lido<\/a>:<\/p>\n<p><em>\u201cLido protocol has registered its largest daily stake inflow so far with over 150,000 ETH staked. \u00a0Upon reaching this number, a curious (but important) protocol safety feature called Staking Rate Limit was activated.\u201d<\/em><\/p>\n<p>Lookonchain, a keen on-chain analyst, shared a screenshot that showed that the 150,100 ETH could have been made by a single user, with three deposits of 50,000 ETH each, and one of 100 ETH.<\/p>\n<p>As a liquid staking protocol, Lido Finance allows users to stake Ether (ETH) without needing to lock their tokens, as with most crypto staking platforms. When a user deposits ETH on Lido, he\/she is issued with a liquid variant of the deposited ETH, called staked ETH (stETH). The stETH entitled the users to daily staking rewards.<\/p>\n<h2>How the rate limit will work<\/h2>\n<p>In a <a href=\"https:\/\/docs.lido.fi\/guides\/steth-integration-guide\/\">guide<\/a>, Lido Finance stated that the \u201cStaking Rate Limit\u201d acts as a \u201csafety valve\u201d and it aims at limiting the amount of stETH that can be minted during high inflow times so as to mitigate ill side effects like rewards dilution.<\/p>\n<p>In the guide, Liod states that the \u201cStaking Rate Limit\u201d:<\/p>\n<p><em>\u201cWorks by decreasing how much total stETH can be minted at any one time based on recent deposits, and then replenishing this capacity on a block-by-block basis.\u201d<\/em><\/p>\n<p>The replenishing capacity is capped at the rate of 6,200 Ethereum ETH per hour.<\/p>\n<p>More than $9.162 billion ETH has been staked with Lido Finance as of February 27, according to the <a href=\"https:\/\/lido.fi\/\">protocol\u2019s website<\/a>. The amount of staked ETH on the protocol has increased by almost $4 billion since the beginning of the year.<\/p>\n<div class=\"post-meta\">\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Share this article<\/h6>\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Categories<\/h6>\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Tags<\/h6>\n<\/p><\/div>\n<\/p><\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/><a href=\"https:\/\/coinjournal.net\/news\/lido-finance-triggers-staking-rate-limit-after-150k-eth-gets-staked-in-a-day\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : CoinJournal: Latest Bitcoin, Ethereum &amp; Crypto News ) The highly anticipated Ethereum Shanghai upgrade is only days away now. The Shanghai upgrade is causing a lot of activity on Lido finance. The \u201cstaking rate limit\u201d was activated after the daily staking limit of 150,000 Ether was reached. As reported in our [&hellip;]<\/p>\n","protected":false},"author":7,"featured_media":18118,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/18117"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=18117"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/18117\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/18118"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=18117"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=18117"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=18117"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}