Lido, a leading liquid staking protocol on Ethereum, has announced a 15% workforce reduction as part of its restructuring plan.
Aims Behind Lido’s Layoffs
The layoffs are a strategic move aimed at enhancing Lido’s long-term resilience amid rising market costs. Co-founder Vasiliy Shapovalov emphasized that the decision focuses on cost efficiency rather than employee performance.
Lido’s Resource Allocation Plans
Lido plans to pivot resources towards critical areas such as technical development and community engagement. This will also help advance the company’s key objectives.
LDO Token Market Reaction Post-Announcement
Following the restructuring announcement, LDO token saw a 4.3% price increase over 24 hours, though it has experienced a 21.6% decline in the past week. The workforce reduction may improve the protocol’s financial robustness.
Lido's restructuring highlights the company's commitment to fostering a stable and sustainable environment, indicating its dedication to long-term significance in the competitive landscape of liquid staking.
