Lido's Growth Committee to Spend 10K stETH Buying Its Own Token: 'This Is Definitely Not a Bailout'

The Lido Finance ecosystem is getting a little creative with its treasury. The Growth Committee within the LDO DAO has proposed using up to 10,000 stETH to purchase $LDO tokens from the open market, managed through the Lido Ecosystem Foundation. The bought tokens will head straight back to the treasury, because why not.

The timing? Convenient, to say the least. The $LDO/$ETH ratio is hanging around 0.00016 — a hefty 63% drop from the two-year average and a 70% plunge from its previous level of roughly 0.0005. Ouch.

But here's the twist: the committee insists this isn't a performance problem. Net protocol rewards did dip about 20%, sure. But the token price tanked 50% against ETH during the same period. Meanwhile, costs actually improved 13% year-over-year, and revenue share crept up from 5% to 6.11%. Lido remains the undisputed king of liquid staking by TVL, still printing stable revenue.

So what's the play? The committee argues the price-to-fundamentals gap is just too juicy to ignore. Buy the dip