Lido DAO Considers Automated LDO Buyback Mechanism

Lido DAO Considers Automated LDO Buyback Mechanism

Laura Shin
Laura ShinNov 12, 2025

Summary

The Lido DAO is evaluating an automated buyback system for its LDO token that would use roughly 10% of staking revenue to repurchase LDO via an LDO/wstETH liquidity pool, managed by an Aragon Agent. The mechanism would only trigger when ETH trades above $3,000 and DAO revenue exceeds $40 million, with an annual buyback cap of $10 million (currently expected to be about $4 million). If approved, the program could launch in Q1 2026, aiming to boost on‑chain liquidity and reward holders. The proposal reflects Lido’s proactive governance approach to enhance token holder value under defined market conditions.

Lido DAO Considers Automated LDO Buyback Mechanism

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