Paradigm Capital Moves $96.6M Worth of Lido DAO (LDO) Tokens, Signaling Long-Term Play

Recently, Paradigm Capital moved approximately $96.6 million worth of Lido DAO (LDO) tokens (70 million LDO), in which 8.18 million LDO ($11.29 million) was sent to Coinbase Prime and 61.82 million LDO ($85.31 million) sent to what appears to be a new wallet.

Paradigm Capital recently shifted around $96.6 million in Lido DAO (LDO) tokens (70 million LDO) in a massive over-the-counter (OTC) transaction.

Out of the total, about 8.18 million LDO ($11.29 million) was sent to Coinbase Prime and the remaining 61.82 million LDO ($85.31 million) was sent to what appears to be a new wallet.

The transaction was processed on May 11, and the tokens were sent from a wallet belonging to Paradigm.

This latest transaction seems to indicate Paradigm’s preference for keeping most of these tokens in the new wallet, rather than moving them to Coinbase Prime.

While the specific reason for this choice remains unclear, it could be a strategy for further term gains or a way of holding the tokens for institutional clients.

Paradigm had initially acquired 70 million LDO tokens on May 5, 2021, when the token was valued at $0.76. At the time, Paradigm had locked 15,120 ETH (around $53.25 million) to secure their LDO holdings.

The token price has since surged over 16x, making this transaction particularly significant.

LDO Price Analysis: Institutional Demand Surges

Over the last 24 hours, LDO’s price has witnessed a surge of around 20%, currently trading at $1.34.

The token has also seen a substantial increase in volume, with a whopping 104.12% increase. At the time of writing, LIDO had a new 24-hour volume of $295.78 million.

Paradigm’s massive transfer, together with the sharp increase in volume and price, suggests heightened institutional and retail demand.

This demand could be driven by several factors, including Lido DAO’s growing market share in the staking sector, the broader market interest in DeFi assets, and an increase in staking activity within Ethereum’s ecosystem.

As Lido DAO continues to expand its presence in the staking market, demand for LDO could be naturally fueled by the growth of DeFi and increased utilization of staking services within the Ethereum ecosystem.

At the moment, LDO ranks 36th on CoinMarketCap with a live market cap of $1.20 billion, which is up 17.04% over the last 24 hours. The circulating supply is 888,140,903 LDO.