fbpx
8.4 C
London
Saturday, February 4, 2023

Lido Reigns Supreme

MakerDAO, the most prominent DeFi protocol, has fallen from its perch on top of the TVL (Total Value Locked) list. In a battle for liquidity in this nascent space, Lido has overtaken MakerDAO and now leads with $1.2 billion in TVL compared to Makers’ $800 million.

The fight for dominance isn’t over yet though! MakerDAO is still one of the most liquid protocols in DeFi, but new challengers are coming on strong as developers continue working on their platforms. Let’s take a look at what each protocol offers and how they stack up against each other.

- Advertisement -

This week, Lido overtook MakerDAO in terms of total value locked (TVL). As of April 25th, the latest data from DappRadar shows Lido having an impressive $1.2 billion in TVL compared to just over $500 million for MakerDAO.

Lido Is Now No.1

As it turns out, this isn’t the first time we’ve seen someone overtake MKR: Back in January 2019, ETHNews reported that Melonport had become “the most liquid protocol in DeFi,” with its own native token MLN surpassing MKR in terms of liquidity.

The situation is similar now; while LIDO has been gaining popularity among developers and users alike since its release on January 1st last year, there was no indication that it would be able to overtake even a single protocol like MakerDAO in less than two months’ time.”

- Advertisement -

The Lido pool is a dual-governed coinpool. It means that the miners themselves make all decisions about how to run their mining operation and its governance system (hence the word “dual”). This puts ultimate power in the hands of miners, who can vote on any changes they want to make, including changes to the pool’s fee structure or block rewards.

Lido has an interesting governance model where every miner gets one vote and can change proposed proposals by voting against them. If you don’t like something, you have it your way!

In addition to being governed by a decentralized community of miners, Lido also has an additional layer of governance that allows a centralized team at LIDO Group Limited (a Hong Kong based company) to help manage things like marketing and operations.

- Advertisement -

Follow Us

16,985FansLike
4,865FollowersFollow
1,643FollowersFollow

Latest news