Key Points
- Lido Finance has surpassed Ethereum in fees earned in recent days.
- Despite the increasing interest in staking, the price of ETH has dropped.
Lido Finance has outperformed Ethereum in terms of fees earned in the last few days.
Lido’s Performance
Over the past month, Lido Finance accumulated $20.8 million in fees within a single week. This amount surpasses the fees collected by Ethereum, which amounted to $19.8 million during the same timeframe.
This outstanding accomplishment positioned Lido Finance as the second-highest fee earner in the cryptocurrency sector for that week, trailing only behind Tron, which earned $33.7 million.
Lido Finance’s momentum persisted for the entire month. In total, Lido generated $98 million in fees, marking an 8% increase compared to the previous month.
This robust fee generation is likely attributable to Lido’s dominance in the staked ETH market. At the time of writing, Lido held over $33.4 billion in total staked assets, commanding a 29% market share in staked ETH.
Lido’s total value locked (TVL) rose by 1.36% this week, reaching $33.48 billion. This surge was fueled by a wave of new ETH staking deposits, with 95,616 net new ETH staked through Lido in the past seven days.
Positive Signs for Lido
While the 7-day stETH APR dipped slightly by 0.04% to 2.96%, there were positive signs elsewhere.
Wrapped stETH (wstETH) bridged to Layer 2 networks saw a significant rise of 7.19%, bringing the total to 141,586 wstETH.
Arbitrum held the majority with 65,290 wstETH, followed by Optimism at 27,879 wstETH. Both networks experienced minor declines in the past week.
There was also a slight increase in wstETH deposited in lending pools and liquidity pools, reaching 2.70 million stETH and 83.5k stETH respectively.
wstETH bridged to Cosmos networks also saw a small uptick, reaching 1,788 wstETH up 2.12% in the past week.
Nonetheless, the 7-day trading volume for (w)stETH dipped 7.25% compared to the previous week, totaling $1.23 billion.
While Scroll saw a significant increase in wstETH up 86.26%, other networks like Base, Polygon, Linea, and zkSync Era experienced minor declines.
Future of ETH
The growth and popularity of the Lido protocol suggest that users are increasingly interested in staking ETH.
Although ETH’s price may be stagnating at the moment, the surge in staking indicates that existing users believe in the long-term potential of ETH.
At the time of writing, ETH was trading at $3,336.23 and its price had declined by 3.15% in the last 24 hours.
