Lido Finance

Lido stETH

Lido stETH is a liquid staking token on Ethereum representing staked ETH. Yield is generated from Ethereum consensus and execution layer rewards distributed across a diversified validator set.

AUM

$21.20b+8.7%

APY

2.49%+3.28%

A+Rated Protocol

Updated Apr 24, 2026

Risk Rating

A+

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This rating is based solely on publicly available information. The range from A+ to AA reflects the gap between the current assessment and the potential rating achievable if all identified improvement areas are addressed.

SCS: Smart Contract Security

KMP: Key Management Permissions

M: Market

L: Liquidity

C: Collateral

PM: Protocol Mechanics

ICE: Infra Counterparty Exposures

PCE: Protocol Counterparty Exposures

G: Governance

FR: Financial Resilience

TLC: Team Legal Compliance

DT: Documentation Transparency

Potential Score

Provider risk assessed across Business, Operations, Reliability, and Security.

View the detailed scoring breakdown

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Contract Addresses

TokenContract

0xae7a...fE84

wstETH

0x7f39...2Ca0

InsuranceFund

0x8B3f...De35

WithdrawalQueue

0x889e...F9B1

NodeOperatorsRegistry

0x5503...28d5

Governance (Aragon Agent)

0x3e40...9C8c

Governance (Aragon Voting)

0x2e59...618e

Key Strengths

Extensive audit coverage from top firms including ChainSecurity, Certora, OpenZeppelin, Consensys Diligence, Sigma Prime, and Runtime Verification across all protocol versions
Lido contributors authored and maintain the SEAL Incident Response Template, the most widely referenced security standard in DeFi, demonstrated during the May 2025 Chorus One oracle compromise with rapid key rotation and full post-mortem
Dual Governance activated June 2025 grants stETH holders veto power with dynamic delays and rage quit capability, uniquely mitigating governance concentration risk
Highly diversified validator network across multiple staking modules with client diversity superior to network-wide averages and growing DVT adoption
Active bug bounty program on Immunefi with competitive audit contests providing strong incentive alignment for security researchers
Battle-tested through major stress events with all withdrawal requests processed and zero depositor losses, proving the redemption mechanism under extreme conditions

Key Risks

Withdrawal queue can extend well beyond the stated window during mass exits with temporary secondary market depeg, as demonstrated in July 2025
Near-total TVL exit requires extended staggered processing due to Ethereum validator exit rate constraints, a structural limitation
Combined treasury and insurance reserves represent a small fraction of TVL, structurally constrained for a fully backed liquid staking protocol
Not all Curated Module node operators hold formal IT security certifications, though progress is tracked publicly with additional operators in the certification pipeline
Ongoing civil class action creates legal uncertainty for governance token holders, though it is not a regulatory enforcement action and does not affect stETH directly