news 
Lido DAO Votes to End Polygon Staking Services, Sets 2025 Withdrawal Deadline
In a move that has sent shockwaves throughout the cryptocurrency space, Lido Finance has announced its decision to discontinue its staking services on the Polygon network. This development comes as a result of a community vote conducted by the protocol’s decentralized autonomous organization (DAO).
As part of this decision, stMATIC rewards have been immediately halted, and users are now given until June 16, 2025, to withdraw their staked MATIC tokens through Lido’s frontend interface. Following this date, withdrawals will only be accessible through blockchain explorer tools.
The reason behind this drastic change stems from the project’s inability to garner sufficient user adoption and generate enough rewards for its users since its inception in 2021. Furthermore, the shift towards zkEVM solutions has led to a decline in demand for Polygon liquid staking services.
In an effort to ensure a seamless transition, Lido is offering its users ample time to adjust their positions and make informed decisions regarding their assets. The protocol’s frontend interface will be readily available to facilitate this process, requiring only basic blockchain interaction knowledge from users.
For those who may miss the initial withdrawal window, it has been confirmed that access to funds will remain possible through explorer tools indefinitely. However, this method may necessitate more technical expertise on behalf of the user.
Throughout the duration of the withdrawal phase, Lido’s technical team will maintain necessary smart contract infrastructure and ensure continued functionality of the withdrawal mechanisms, thereby protecting the security of users’ assets.
The vote conducted by the DAO has reflected a clear preference for streamlining operations and focusing on networks where the protocol has achieved greater success. Data shows that sustaining operations on Polygon demanded ongoing investment that could be better utilized in other areas of Lido’s development.
It is worth noting that early supporters of Lido on Polygon, including Shard Labs, have acknowledged the challenges faced by the project. Despite initial optimism, market conditions and ecosystem changes ultimately created obstacles that proved difficult to overcome.
Lido token holders participated actively in the governance process leading up to this decision. This choice reflects a collective preference for streamlining operations and focusing efforts where the protocol has achieved greater success.
For more cryptocurrency news and updates, visit our website at [insert URL].
Source: blockonomi.com
