Lido Proposes Pre-Authorizing Up to $1.5M LDO and 480K USDC Market-Making Budget to Reduce CEX Delisting Risk
A proposal on the Lido governance forum seeks to authorize a conditional LDO centralized exchange liquidity market-making program to reduce the risk of LDO trading pairs deteriorating or…
A proposal on the Lido governance forum seeks to authorize a conditional LDO centralized exchange liquidity market-making program to reduce the risk of LDO trading pairs deteriorating or being delisted due to insufficient liquidity. The plan would provide up to $1.5 million worth of recallable LDO inventory from the Lido DAO treasury (capped at 7.5 million LDO), plus up to 480,000 USDC for fixed service fees and related costs over a maximum of 12 months. The authorization would expire if not activated within two years and would only be triggered if the Lido Growth Committee determines that CEX liquidity is insufficient or likely to become insufficient. The forum disclosed that LDO's average daily trading volume over the past 90 days was approximately $34 million, down from $43.8 million in the prior 90 days and about $95.4 million in the same period in 2025. The proposal emphasizes that the program aims to maintain two-sided liquidity and continuous trading pair listing, is not intended for price support, and no specific market makers or exchanges have been designated at this time.
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