Lido fundamentals shine even as the wider crypto market struggles to regain traction
1 min read
The crypto market has witnessed a turbulent few weeks after the FTX collapse but Lido Finance, a liquid staking protocol, has been a bright spot amidst the chaos. According to Data from DeFiLlama, Lido protocol has earned $1 million or more in fees daily since October 26.
Lido fees and revenue over time. Lido has collected over $1M in fees every day since October 26th
Lido’s market capitalization does not match its on-chain fundamentals
While fees, deposits and revenue continue to increase for Lido, the market cap of LDO tokens is not keeping pace.
As mentioned above, Lido hit a record amount of fees on Nov. 10, at the same time the market cap decreased from $1.2 billion to $663.7 million.
According to Coingecko, during this same period, the price of LDO tokens dropped from $1.80 to a low of $0.90.
Despite the market-wide downturn, Lido is showing strong fundamentals on multiple fronts. The steady uptick in DAUs, revenue and new unique participants are all key components for assessing growth and sustainability within a DeFi platform.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
