Lido's Ethereum Staking Share Declines Amid Debate Over Dominance
The Lido protocol has been at the center of a debate regarding its dominance in Ethereum staking, with some suggesting it is approaching a 33% monopoly. However, according to recent data, Lido's share of total Ethereum staking fell from 32.3% in late 2023 to 24.4% in August 2025 and reached 21.18% in the first half of 2026.
The protocol manages 9.65 million ETH, with its TVL sitting at approximately $23.8 billion. Lido takes 10% of staking rewards as a fee, which is split between node operators and the treasury.
One of the key points in favor of Lido's diversity is the Community Staking Module (CSM), which has reached its 5% stake share cap following the v2 upgrade. This module added 377,664 ETH on an annual basis, showing 29.35% quarter-over-quarter growth.
Client diversity within the Lido set is also notable, with no consensus client holding a supermajority. The 36 Curated Node Operators each operate 6,967 validators, well below the 1% soft cap.