Ethereum-based liquid staking protocol Lido posted a 23 percent fall in revenue in 2025, The Block reported on Tuesday.
Lido's annual revenue last year was $40.5 million, down sharply from the previous year. User fund outflows and a decline in staking yields were major factors.
In its annual report, Lido said the staking market began to change structurally from 2024. It said a decline in network-wide APR, a shift of capital from simple LSTs to exchange and institutional staking, and intensifying competition led to a reduction in market share.
The Block reported that Lido’s market share fell as the simple LST segment, a core category for Lido, shrank. The Block also reported that Lido’s strengths weakened as capital moved to exchange staking, low-risk institutional staking and APR-maximisation segments.
Lido is considering an LDO token buyback. Lido plans to use staking rewards generated by the protocol to buy LDO on the market and deploy it into an LDO/wstETH liquidity position.
Chi-gyu Hwang
delight@d-today.co.kr