Ethereum‘s largest staking platform, Lido, recently announced adopting stETH/USD Chainlink Price Feed.
stETH is the platform’s tokenized form of staked Ethereum, that combines the value of the staked deposit with staking rewards.
The next wave of integrations for Lido’s staked asset
“Lido is excited to announce that we are now sponsoring the first in a series of Chainlink Price Feeds to enable DeFi protocols across leading blockchains to quickly and securely support Lido staked assets,” read the announcement.
Chainlink Price Feeds help developers build more advanced #DeFi applications around a wide range of assets. @LidoFinance has integrated #Chainlink Price Feeds to bring globally accurate fair-market rates to stETH, its staked version of #ETH.https://t.co/gGtdELTTU7
— Chainlink – Official Channel (@chainlink) December 20, 2021
According to the announcement, the integration of Chainlink Price Feeds is expected to expand the utility of stETH.
While earning staking rewards from Lido, users are enabled to deploy stETH as collateral in DeFi.
“Integrating Chainlink Price Feeds is an important step in supporting the next wave of integrations for Lido’s staked assets, such as within money markets and certain yield farming apps,” commented Vasiliy Shapovalov, P2P CTO and Lido DAO member.
“Chainlink effectively serves as a great enabler for DeFi protocols looking to quickly and securely add support for assets like stETH, removing manual process and mitigating security risks around using unproven oracle solutions,” clarified Shapovalov.
Expanding the support of Chainlink Price Feeds
Chainlink’s blockchain agnostic oracle solution aligns with Lido’s multi-chain expansion agenda.
Lido revealed its plans to expand the support of Chainlink Price Feeds, including decentralized price oracles for bLUNA and stSOL, and the assets of new blockchains that Lido plans to add support for, such as Polkadot, Avalanche, and Matic.
“One of the main value propositions of Lido besides democratizing access to staking rewards is increasing the utility of staked assets without sacrificing the underlying cryptoeconomic security those staked assets bring to blockchains and various other protocols,” the announcement underscored.
In addition to Chainlink Price Feeds, the platform is currently exploring how to automate certain functions of Lido’s smart contracts using Chainlink Keepers Network that leverages trustless and decentralized outsourcing for regular maintenance tasks.
Featuring a summary of the most important daily stories in the world of crypto, DeFi, NFTs and more.