How to Buy Lido (LDO)

Beginner’s Guide

What Is Lido?

Lido is a decentralized finance (DeFi) platform that provides a user-friendly solution for staking and earning rewards on a number of different blockchain networks. Staking is the process of holding a cryptocurrency to help secure and validate the blockchain network, in exchange for rewards paid out in that same cryptocurrency.

Lido was specifically created to help solve some of the challenges associated with staking Ethereum 2.0, which is the next generation of the Ethereum blockchain. Ethereum 2.0 uses a proof-of-stake (PoS) consensus mechanism, which requires users to hold a certain amount of Ether (ETH) and to participate in the network by staking their tokens.

Lido makes it easy for users to stake their ETH, even if they don’t have the required minimum amount or technical expertise to do so directly. Lido pools the ETH of many users together, and then uses these pooled assets to validate the Ethereum network. In return for staking their ETH, users receive a corresponding amount of stETH, which is a tokenized version of staked ETH that can be traded, sold, or used as collateral in DeFi protocols.

Lido has since expanded its services to include other networks, such as Solana, Terra, and more. In addition to staking, Lido has also introduced the Lido DAO, which allows LDO token holders to participate in governance and decision-making for the Lido platform.

Overall, Lido provides a simplified and accessible way for users to participate in staking and earn rewards on multiple blockchain networks. Its user-friendly interface, automated processes, and community-driven governance have made it a popular choice for those looking to earn passive income through staking.

How to Buy Lido Summary

Get a Lido wallet (e.g. Ledger, Trezor , Exodus, Guarda, AtomicWallet)
Find an exchange that sells Lido (e.g. , Binance ,OKX, Gate , Bitfinex , Kucoin)
Deposit money and make the trade
Withdraw the Lido to your wallet

Buying Lido in 3 Simple Steps

Desctop & Mobile

Lido Hardware Wallets

Lido is a decentralized finance (DeFi) platform that is designed to make it easy for users to stake their digital assets and earn rewards. However, Lido is not a cryptocurrency itself, and therefore it cannot be stored on a hardware wallet like other cryptocurrencies such as Bitcoin, Ethereum, or Litecoin.

Instead, Lido provides stETH tokens to users who stake their Ethereum (ETH) through the Lido platform. stETH is an ERC-20 token that represents a user’s share of the staked ETH, and can be stored on any wallet that supports ERC-20 tokens.

Hardware wallets that support ERC-20 tokens can be used to securely store stETH, providing users with an additional layer of security and peace of mind. Examples of popular hardware wallets that support ERC-20 tokens include Ledger Nano S, Ledger Nano X, Trezor, and KeepKey.

It’s important to note that hardware wallets provide the most secure way to store cryptocurrencies, but they come with some additional setup and maintenance requirements. Users must properly configure and secure their hardware wallets, and ensure they have access to their backup seeds in case their hardware wallet is lost or damaged.

The best option for storing any cryptocurrency would be to use a hardware wallet. These are pieces of hardware that store the private key to your coins offline.

Today, there are two leading hardware manufacturers to choose from – Ledger and TREZOR. Both companies have different models of hardware wallets that will get the job done.

If you want deeper insights on specific models, you can read my Ledger Nano X review or my TREZOR Model T review.

Lido Software Wallets

Lido is a decentralized finance (DeFi) platform that allows users to stake their Ethereum (ETH) and earn rewards. When a user stakes their ETH on Lido, they receive stETH tokens in return, which represent their share of the staked ETH. These tokens can be stored on any wallet that supports the ERC-20 token standard.

There are many software wallets that support ERC-20 tokens and can be used to store stETH, including:

MyEtherWallet (MEW)
MetaMask
Trust Wallet
Exodus
Atomic Wallet

These wallets provide users with the ability to securely store their stETH and manage their digital assets. They also offer convenient features such as easy integration with DeFi protocols, real-time transaction tracking, and user-friendly interfaces.

When choosing a software wallet, it’s important to consider factors such as security, ease of use, and compatibility with other DeFi protocols. Users should also follow best practices for securing their wallets, such as enabling two-factor authentication and using a strong, unique password.

Hardware wallets cost money, so if you’re not sure how serious you are about cryptocurrencies and just want to get a taste of what they feel like, perhaps you would be better off starting with a software wallet.

Payment methods:

Credit/debit card

Wire

Buy Lido DAO through Binance

Binance is a cryptocurrency exchange which is the largest exchange in the world in terms of daily trading volume of cryptocurrencies. It was founded in 2017 and is registered in the Cayman Islands. Binance was founded by Changpeng Zhao, a developer who had previously created high frequency trading software.

Buy Lido DAO through Okex

OKX (Chinese: 欧易), formerly known as OKEx, is a Seychelles-based cryptocurrency exchange and derivatives exchange. It was founded by Star Xu (徐明星) in 2017. OKX is owned by Ok Group, which also owns crypto exchange Okcoin. It is not available to US based investors. The company’s CEO is Jay Hao and CMO is Haider Rafique. Initially headquartered in Beijing, China, OKX is now under a blanket ban by Chinese regulators. On October 13, 2021, it issued a “Notice on Regulatory Policy in Mainland China”, announcing that it would continue its policy of “withdrawing from the Chinese mainland market” and would not establish an office or team in the region. However, according to Caixin, although the exchange officially announced that it would no longer set up an office in Mainland China, it still has a large number of R&D staff working in the region, including engineers, who continue to work for OKX in the form of third-party outsourcing companies.

Buy Lido DAO through Gate.io

Gate.io is a crypto exchange founded in the fall of 2017. The platform is a part of Gate Technology Inc corporation, and has a registration address in Virginia, USA. The platform does not have an official license. Its interface is available for working in three versions: English, Chinese and Japanese.

Buy Lido DAO through Bitfinex

Bitfinex is a cryptocurrency exchange owned and operated by iFinex Inc registered in the British Virgin Islands.Their customers’ money has been stolen or lost in several incidents, and they have been unable to secure normal banking relationships.Bitfinex was founded in December 2012 as a peer-to-peer Bitcoin exchange, offering digital asset trading services to users around the world. Bitfinex initially started as a P2P margin lending platform for Bitcoin and later added support for more cryptocurrencies.

Buy Lido DAO through Kucoin

Kucoin is a global cryptocurrency exchange for numerous digital assets and cryptocurrencies. Launched in September 2017, KuCoin has grown into one of the most popular crypto exchanges and already has over 8 million registered users from 700+ countries and regions. According to Alexa traffic ranking, KuCoin’s monthly unique ranking is in the top 5 globally. Known as the “People’s Exchange”, KuCoin operates in Seychelles, providing users with multi-language and 24/7 customer service. Meanwhile, KuCoin has established local communities all over the world in South Korea, Japan, Spain, Italy, Vietnam, Turkey, Russia, India, and other regions, providing users with the most local services. Currently, 1 out of every 4 crypto holders in the world is with KuCoin.

Step 3 – Withdraw Your Lido DAO

Once you decide on an exchange, open an account and buy your Lido DAO . Make sure to withdraw the Lido DAO from the exchange to your personal wallet. Never leave coins on an exchange, as you risk losing them all if that exchange gets hacked or shuts down (which has happened in the past) and always double check address before send coins because you can send the coins to wrong address .

Overview

Who Are the Founders of Lido ?

Lido was founded by a group of experienced blockchain developers, including Jordan Fish, Vasiliy Shapovalov, and Anton Bukov. Fish previously co-founded the blockchain infrastructure company, Tendermint, which is behind the Cosmos blockchain network. Shapovalov is a software engineer who has worked on various blockchain projects, including the decentralized prediction market platform Augur. Bukov is a blockchain researcher and developer who has contributed to numerous blockchain projects, including the 0x protocol and MakerDAO.

Lido was launched in late 2020 as a way to make staking Ethereum 2.0 more accessible and user-friendly. Since then, the platform has expanded to support other blockchain networks and has introduced the Lido DAO to allow community members to participate in governance and decision-making for the platform. Today, Lido is one of the leading DeFi platforms for staking and earning rewards on multiple networks, and its team continues to work on expanding the platform’s capabilities and improving the user experience.

What Makes Lido Unique?

Lido is a decentralized finance (DeFi) platform that allows users to stake their digital assets and earn rewards. It is unique in several ways:

Accessibility: Lido makes it easy for users to stake their digital assets and earn rewards, even if they have limited technical knowledge. The platform provides a user-friendly interface and handles the complex technical details of staking on the backend, making it more accessible to a wider audience.
Liquidity: Lido provides users with liquid staking solutions, which means that users can stake their assets and still trade or use them as collateral on other DeFi platforms. This is in contrast to traditional staking solutions, which often require users to lock up their assets for an extended period, making them illiquid.
Governance: Lido is governed by a decentralized autonomous organization (DAO), which allows community members to participate in decision-making and help shape the future of the platform. This gives users a greater sense of ownership and control over the platform, and helps to ensure that it continues to meet the needs of its users.
Multi-Chain Support: Lido supports staking on multiple blockchain networks, including Ethereum, Terra, and Solana, with plans to expand to other networks in the future. This provides users with more options for staking their assets and earning rewards.

Overall, Lido’s combination of accessibility, liquidity, governance, and multi-chain support makes it a unique and compelling platform for users looking to participate in the DeFi ecosystem.

How Many Lido Coins Are There in Circulation?

Lido does not have its own native cryptocurrency or token. Instead, the platform allows users to stake their digital assets, such as Ethereum (ETH), Terra (LUNA), or Solana (SOL), and receive a corresponding staked version of the asset, such as stETH, stLUNA, or stSOL. These staked assets are represented by ERC-20 tokens on the Ethereum blockchain, and their supply is not fixed, as they are created as users stake their assets and burned as users redeem them.

The value of staked assets is determined by the market value of the underlying asset, such as ETH, and the staking rewards earned through the Lido platform. As such, the circulating supply of staked assets is dynamic and subject to change based on user demand and the overall market conditions.

It’s important to note that while Lido itself does not have a native cryptocurrency or token, it does have a governance token called LDO, which is used to participate in the platform’s decentralized autonomous organization (DAO) and vote on governance proposals. LDO has a fixed supply of 1 billion tokens, with approximately 64% of the supply currently in circulation.

How Is the Lido Network Secured?

The Lido network is secured through a combination of decentralized consensus mechanisms and smart contract technology. Here are the key elements of Lido’s security architecture:

Decentralized Validators: Lido uses a network of decentralized validators to secure the staked assets. These validators are responsible for processing transactions and verifying the validity of the blockchain. Validators are selected based on their reputation, performance, and stake, and they are incentivized to behave honestly through rewards and penalties.
Smart Contract Security: The staked assets on Lido are represented by smart contracts, which are programmed to enforce the rules of the network and protect the assets from unauthorized access or manipulation. The smart contracts are audited by third-party security firms to ensure that they are secure and free from vulnerabilities.
Governance: Lido is governed by a decentralized autonomous organization (DAO), which allows the community to participate in decision-making and help shape the future of the platform. The DAO is responsible for managing the platform’s treasury, selecting validators, and voting on governance proposals. The use of a DAO helps to ensure that the platform remains decentralized and responsive to the needs of its users.

Overall, Lido’s security architecture is designed to provide a high degree of decentralization, transparency, and resilience against attacks. While no system can be completely secure, Lido’s use of decentralized validators, smart contract technology, and governance mechanisms helps to minimize the risk of security breaches and ensure the safety of users’ assets.

Where Can You Buy Lido ?

Lido is not a cryptocurrency or token that can be bought or sold directly. Instead, Lido is a platform that allows users to stake their digital assets, such as Ethereum (ETH), Terra (LUNA), or Solana (SOL), and receive a corresponding staked version of the asset, such as stETH, stLUNA, or stSOL.

To participate in Lido, you will need to have one of the supported digital assets and use a compatible wallet or exchange to interact with the Lido platform. Here are some steps you can take to buy and stake digital assets on Lido:

Choose a compatible wallet or exchange that supports the digital asset you want to stake on Lido. Examples include MetaMask, MyEtherWallet, or Ledger Nano.
Purchase the digital asset on a cryptocurrency exchange or through a peer-to-peer marketplace.
Transfer the digital asset to your chosen wallet or exchange.
Connect your wallet or exchange to the Lido platform and follow the instructions to stake your digital assets and receive the corresponding staked version of the asset.
Monitor your staked assets and staking rewards, and use the governance token LDO to participate in the platform’s DAO and vote on governance proposals.

It’s important to note that staking digital assets involves some risk and requires careful consideration of the rewards, risks, and fees associated with the process. As such, it’s important to do your research and understand the nuances of staking before participating in the Lido platform.