Lido Crypto's Core 2026 Upgrade Reduces Ethereum Validators by 29%

Lido Crypto has launched its Core 2026 protocol upgrade, introducing native support for 0x02 validators in its largest staking module. This change will reduce the total number of Ethereum validators by approximately 29%.

The Curated Module v2 (CMv2) brings 0x02 native support to the module, enabling migration of existing validators from legacy withdrawal credentials through consolidation. This shift is expected to increase the share of ETH secured by compounding validators from 32.06% to 52.21%.

The Lido Core 2026 upgrade also introduces a new operator classification system and formal penalty framework for node operators, requiring them to have financial 'skin-in-the-game' via ETH-backed bonds.