• Lido Finance integrates stETH into BNB Chain, marking its first cross-chain step.
• The integration leverages Axelar and Wormhole to bridge $23 billion in TVL to BNB.
• Lido remains a leading DeFi protocol with a TVL of $25.94 billion and one million validators.

In a groundbreaking decision, the Lido Finance community has voted to integrate its stETH (Staked Ethereum) into the BNB Chain. The move, which was finalized on August 9 by an on-chain vote by the Lido decentralized autonomous organization (DAO), marks the first time Lido has connected to a layer-1 blockchain outside of the Ethereum ecosystem.

The approved integration uses Axelar and Wormhole as the standard solutions to connect stETH to the BNB chain.

Lido aims to expand its usability within DeFi

This major development allows Lido’s Total Value Locked (TVL) to partner with one of the top five TVL chains, expanding its reach and usability in the decentralized finance (DeFi) industry.

Lido Finance remains a dominant player in the Ethereum staking market, with a significant 28.2% share of net ETH deposits.

Despite a slight decline earlier this year, Lido’s position as a leading staking platform is bolstered by its extensive validator network, which reached the one million mark in April 2024. This growth underscores the platform’s crucial role in the DeFi ecosystem and its impact on staking services.

The DeFi landscape has seen significant contributions from liquid staking protocols like Lido. Unlike traditional staking, which locks up funds for a set period of time, liquid staking allows users to earn yields while maintaining the flexibility to move or trade their staked assets.

For Lido, this process involves depositing ETH to receive stETH, a token that earns interest and can be redeemed at a ratio of approximately 1:1 with the underlying asset.

According to DefiLlama data, Lido’s liquid staking protocol has a notable $26.227 billion of the total $83.782 billion in the DeFi ecosystem, cementing its position as the largest DeFi protocol. This integration into the BNB Chain is expected to further expand Lido’s influence and operational scope within the DeFi space.