Lido DAO

The Lido DAO is a Decentralised Autonomous Organisation that manages the liquid staking protocols by deciding on key parameters (e.g., setting fees, assigning node operators and oracles, etc.) through the voting power of governance token (LDO) holders. Also, the DAO will accumulate service fees and spend them on research, development, liquidity mining incentives and protocol upgrades.

The DAO is the logical compromise between full centralization and decentralisation, which allows the deployment of competitive products without full centralization and custody on the exchanges. We do not believe that it is possible to make a liquid staking protocol that is completely trustless. A DAO is an optimal structure for launching Lido as:

DAO is essentially a decentralised entity, which is enabling a focus on community and might offer a more socially-conscious structure and consequent decision-making;

DAO will be able to cover the costs of developing and upgrading the protocol from the DAO token treasury. And other management activities as well if there is a technical ability.

The DAO will accumulate service fees from Lido, which is funnelled into the insurance and development funds, distributed by the DAO.