July Validator Set Updates

‣

What’s in this update:

July Modules Updates

Community Staking Module

As part of omnibus on-chain vote #190, LDO tokenholders approved several protocol proposals — among them, two key changes to the CSM:

An increase of the CSM stake share limit from 2% to 3%
The introduction of a grace period for CSM Node Operators by setting the keyRemovalCharge parameter to 0 ETH

These adjustments were first signaled in an April Snapshot vote and are aimed at scaling Lido’s first permissionless module and paving the way for the upcoming CSM v2 upgrade.

As outlined in the Evolution of the Lido Community Staking Module Research Forum post, this grace period allows operators to remove their validator keys from the activation queue without any removal cost, leaving for them enough time to adapt to upcoming reward structure changes.

⚠️ Note: The grace period mentioned in point 2 above will effectively end with the mainnet deployment of CSM v2. Due to the architecture of the upgraded contracts, the keyRemovalCharge will be re-written back to 0.02 ETH.

The keyRemovalCharge is one of the safety parameters in the CSM, which defines the charge for Node Operators to remove keys from the CSM deposit queue.

It was introduces as a measure to discourages malicious operator behavior — such as flooding the queue with unnecessary keys — by making it economically inefficient to do so.

CSM v2 is Live on Hoodi!

CSM v2 is gearing up for mainnet deployment! This upgrade introduces five new components designed to empower Ethereum home staking and ensure fair reward system for different actors:

No migration or additional actions are required from current CSM testnet operators — your setup will remain fully compatible with v2.

With its launch, Lido contributors have released an updated CSM Guide, covering everything from node setup and widget interaction to monitoring, validator maintenance and more.

Whether you're new to staking or experienced CSM operator — this guide has you covered.

CSM Guide | Lido Docs

This guide focuses solely on the technical setup of Ethereum validators using Lido's Community Staking Module (CSM).

docs.lido.fi

Earn Proof-of-Experience Recognition

Participating in CSM v2 testnet activity will contribute to your points under the Proof-of-Experience category of the Community Stakers Identification Framework.

That means that taking part in the v2 testnet strengthens your application to become Identified Community Staker (ICS) allowing to get v2 Community Staker benefits in access, rewards, and lower bonds and penalties:

4 points are assigned in case:

Submitted in the application address belongs to a NO that has been active on CSM testnet for at least 60 days
Performance for the NO is above the performance threshold in several of the latest performance oracle reports.

5 points are assigned in case all the requirements from above are met, and the application contains an address that has been verified by inclusion in the Lido ICS Circles group.

Simple DVT Module

Distributed Validator Vault

The DVV TVL has hit a new all-time high, with 19,351 wstETH (nearly $90 million in deposits) and a 4.6% APR.

In July demand for DVV staking powered by Simple DVT operators has outpaced available supply — prompting an increase in the vault cap to 20,000 wstETH.

New deposits are directed to the Simple DVT Module, fuelling adoption of DVT-based validator setups powered by Obol and SSV. As new they are activated, the Vault users receive additional token rewards from Obol and SSV, based on the number of active DVT validators running through Lido.

Higher limits. More validators. Stronger decentralization.

Lido x Obol

Lido x SSV

Mainnet | Status: Active ▶️

Cohort 1 is active, 12 clusters running 80 validators each
Cohort 2 is active: 14 clusters running 80 validators each
Cohort 3 is active, 10 clusters running 80 validators
Obol Super Clusters are active, 5 clusters running 500 validators each

Mainnet | Status: Active ▶️

Cohort 1 is active, 12 clusters running 80 validators each
Cohort 2 is active, 9 clusters running 80 validators each
Cohort 3 is active, 15 clusters running 5 validators each
SSV Super Clusters are active, 5 clusters running 500 validators each

Curated Module

Proposer MEV-Protect PERCH Proposal

bloXroute has published a request for validators to run and test Proposer MEV-Protect, their new Auxiliary Proposer Mechanism (APM) designed to increase fairness in distribution of the block value. A relay-level safeguard aims to enforce a minimum 90% value return from builders to proposers, or requires the inclusion of an additional fee. Find more details in the respective docs.

bloXroute is currently looking for Lido Node Operators to join a pilot program evaluating the impact of this new mechanism in real-world testnet settings. If you're a Curated Node Operator interested in participating, Lido contributors are ready to support your involvement during the testing phase.

Please fill out this short form and drop a comment on the Research Forum thread to express interest.

Node Operator Community

Node Operator Community Call

The Node Operator Community Call #30 spotlighted major protocol advancements — including progress on CSM v2 and its upcoming testnet launch, the implementation of Triggerable Withdrawals, and updates across the Lido validator set.

Catch the highlights in the recap or watch the full 40-minute recording on YouTube.

The Node Operator Community Call is taking a short pause as contributors work on bringing it back in a more engaging and useful format for the broader Lido community.

Stay tuned to the Lido X account to be the first to hear what's coming next!

Lido’s Roadmap to Pectra: Validator Consolidations

The third and final part of the Pectra roadmap blog series is now live:

Lido’s Roadmap to Pectra: Delivering Validator Consolidations in the Protocol [Pt 3]

A deep dive into understanding this evolution and how it reflects the long term vision for Lido, including the role the protocol will play in the future of Ethereum validation.

blog.lido.fi

Lido’s Roadmap to Pectra: Delivering Validator Consolidations in the Protocol [Pt 3]

Following the initial blog post that outlines Lido’s roadmap to the Pectra hardfork and the second that describes the future considerations around implementing EIP-7251 and EIP-7002 into the protocol, the latest part presents a concrete plan to deliver validator consolidations across the protocol as part of the new Staking Router v3, diving into understanding some major Lido protocol changes and how it reflects the long term vision for Lido, including the role the protocol will play in the future of Ethereum validation.

Validator consolidations represent a pivotal improvement for operators, which will benefit from simplified management and lower overhead, while maintaining Lido’s commitment to decentralization and innovation.

Community Sentiment Around Raising the Gas Limit

Curated Node Operators have continued to raise the gas limit to 45M on mainnet. As of August 1st, ¾ of Lido Curated validators, or 77.3%, are voting for 45M — a +70.2pp. increase compared to the previous month.

Although Ethereum’s gas limit was raised by 20% in late 2024 (from 30M to 36M), throughput remains capped at ~20 TPS. While 60M gas limit testing has taken place on the Hoodi testnet, ongoing discussions among Ethereum Core Developers suggest that 45M is currently considered the safer threshold. The 60M limit may require additional client-level changes and extended testing before being deemed safe for mainnet use.

Track gas limit voting with the Lido Pumped Gas Dune Dashboard, which offers a clearer view of gas limit changes across Lido operator set. As well, it includes a 14-day history, with data available at both an aggregated level and for individual blocks, all verifiable on-chain.

Triggerable Withdrawals in the Lido Protocol

In June, the Lido DAO approved the proposed Triggerable Withdrawals Framework, marking a major step toward permissionless validator exits and a more fault-tolerant Lido protocol.

This new mechanism addresses a key issue in delegated staking and enables anyone — not just Node Operators — to initiate secure and verifiable validator exits via the Execution Layer. It complements the current validator exit path and enhances decentralization, reduces trust assumptions, and strengthens protocol resilience, paving the way for truly permissionless staking, in line with Lido’s long-term vision.

What Happens Next? Following the DAO support of the respective Snapshot vote, here’s what coming:

Prepare and verify deployment using approved implementation and parameters.
Completion of audits with no unresolved findings and the publication of the final audit reports on the Research Forum (the condition required for the mainnet launch).
On-chain vote to initiate the launch of Triggerable Withdrawals in the Lido protocol.

LCST Welcomes a New Participant: StraitsX

The Lido Community Staking Tribes (LCST) empowers Web3 teams and DAOs transition into active Ethereum home stakers using the CSM.

This month, StraitsX — a licensed digital payment token service provider that issues stablecoins and offers blockchain-based tools to bridge traditional finance with the digital economy — has joined the movement.

Four of their developers are kicking off validator operations with a co-branded Dappnode and personalized support from the Lido Community Lifeguards.

Get in touch with Sam or Enti to join the Initiative and help strengthen Ethereum’s decentralization while growing your team’s staking capabilities.

EthCC 2025

Panels and talks

The Lido contributors joined the Ethereum community at EthCC 2025, diving into the latest conversations on staking evolution, validator decentralization, protocol design, and more.

From technical deep-dives to forward-looking panel debates, contributors brought their perspectives to the table—highlighting how permissionless infrastructure, modular upgrades, and collaborative governance are shaping the next era of staking on Ethereum.

Watch the full recordings and explore recaps of each talk below.

Lido V3: A Modular Approach to Ethereum Staking (Pshe)

‣

About the talk

‣

Recap