Lido DAO Proposes $20 Million LDO Buyback After 96% Slide

Lido operates Ethereum’s largest liquid-staking protocol, allowing users to stake ETH while receiving tradable stETH. Its LDO token governs the decentralized organization but has sharply lagged the protocol’s operating performance. Lido still accounts for about 23.2% of staked Ether, making the valuation gap significant for investors assessing whether DeFi governance tokens should reflect the economics of the platforms they oversee.

The Lido Ecosystem Operations team submitted the proposal on March 27, 2026, seeking authority to deploy up to 10,000 stETH, worth about $20 million, from the DAO treasury. Purchases would be split into 1,000-stETH tranches, each subject to a separate vote. LDO traded near $0.30, down 95.9% from its August 2021 peak of $7.30. At current prices, the program could acquire roughly 8% of circulating supply, with centralized venues considered because onchain liquidity is thin.