What is the issue volume of LDO coins? One article to introduce the application scenarios of LDO coins

LDO's total supply of 1 billion tokens includes a 30% distribution to token holders and a 70% reserve held by Lido Finance for future release through staking rewards, developer incentives, and community governance mechanisms.

Oct 03, 2024 at 09:11 am

What is the Issue Volume of LDO Coins?

LDO is the native token of Lido Finance, a decentralized platform for liquid staking. It allows users to stake their ETH without locking them up for a long period of time, earning rewards in the meantime.

The total supply of LDO is 1 billion tokens. Of this, 30% (300 million LDO) was distributed to LDO token holders during the LDO token generation event (TGE) in March 2021. The remaining 70% (700 million LDO) is held by Lido Finance and will be released over time through various mechanisms, including staking rewards, developer incentives, and community governance.

Application Scenarios of LDO Coins

LDO coins have a variety of use cases within the Lido Finance ecosystem, including:

1. Staking: LDO holders can stake their tokens to earn rewards in ETH. The amount of rewards earned depends on the amount of LDO staked, the length of time it is staked, and the current staking yield.
2. Governance: LDO holders can participate in the governance of Lido Finance by voting on proposals that affect the platform's development. Proposals can be made by anyone, but only LDO holders can vote on them.
3. Fees: LDO is used to pay fees on the Lido Finance platform. This includes fees for staking, unstaking, and transferring ETH.

Conclusion

LDO is a versatile token that plays an important role in the Lido Finance ecosystem. It allows users to earn rewards by staking their ETH, participate in the governance of the platform, and pay fees on the Lido Finance platform.