Lido's new stvaults significantly lower the barrier for layer 2s and other teams to offer ethereum staking, potentially increasing the total amount of eth staked and expanding the utility of steth. this innovation makes ethereum staking more modular and accessible.
The news comes from coindesk, a reputable crypto news source, reporting on an official announcement from the lido labs foundation regarding a mainnet deployment.
By making ethereum staking more flexible and integrated, stvaults could lead to higher demand for staking eth and greater adoption of steth across various platforms and applications, which is generally bullish for eth and the broader lido ecosystem.
While the announcement is immediate, the full effects of stvaults, including widespread adoption by l2s and the resulting increase in staked eth and steth utility, will likely unfold over several months to years as integrations mature.
Tech Share Share this article Copy link X icon X (Twitter) LinkedIn Facebook Email Lido’s new stVaults will let L2s create their own rules for Ethereum staking stVaults let other teams plug into Lido’s staking system instead of building their own from scratch. By Margaux Nijkerk , AI Boost | Edited by Jamie Crawley Jan 30, 2026, 2:00 p.m. Make us preferred on Google What to know : The Lido Labs Foundation unveiled stVaults on the Ethereum mainnet on Friday. In simple terms, stVaults let other teams plug into Lido’s staking system instead of building their own from scratch. stVaults are isolated staking environments that allow teams to run custom validator configurations and optionally mint stETH, while remaining connected to Lido’s liquidity and DeFi integrations. The Lido Labs Foundation unveiled stVaults on the Ethereum mainnet on Friday. stVaults marks a shift from a single-product model toward shared staking on the protocol through opening its infrastructure to external builders. STORY CONTINUES BELOW Don't miss another story. Subscribe to the The Protocol Newsletter today . See all newsletters Sign me up By signing up, you will receive emails about CoinDesk products and you agree to our terms & conditions and privacy policy . In simple terms, stVaults let other teams plug into Lido’s staking system instead of building their own from scratch. Until now, developing an Ethereum staking product typically meant setting up validators, integrations and liquidity independently, which can be a costly and complex process. stVaults aim to lower that barrier by letting builders use Lido’s existing plumbing while customizing how staking works for their users. stVaults are isolated staking environments that allow teams to run custom validator configurations and optionally mint stETH, while remaining connected to Lido’s liquidity and DeFi integrations. Lido said its core staking protocol remains unchanged, with stVaults operating alongside it. The rollout comes as Ethereum staking moves beyond one-size-fits-all products toward more specialized setups. These include institutional-grade staking with stricter controls, application-specific staking products and layer-2 networks embedding staking directly into their infrastructure, all without fragmenting liquidity across competing pools. Initial deployments include Consensys’ layer-2 network Linea , which is using stVaults to stake a portion of bridged ETH and redirect rewards toward liquidity providers and ecosystem incentives. Blockchain analytics firm Nansen is also using stVaults to launch its first Ethereum staking product. "stVaults show how Ethereum staking is evolving. Different users now need different setups,” said Isidoros Passadis, the chief of staking at the Lido Labs Foundation. “With stVaults, the Lido protocol can support these needs within a single framework while maintaining the liquidity and transparency that stETH is known for." Read more: Lido Goes Modular With Vault-Based 'V3' Upgrade Ethereum News Lido AI Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards . For more information, see CoinDesk's full AI Policy . More For You Pudgy Penguins: A New Blueprint for Tokenized Culture By CoinDesk Research Dec 30, 2025 Commissioned by Pudgy Penguins Pudgy Penguins is building a multi-vertical consumer IP platform — combining phygital products, games, NFTs and PENGU to monetize culture at scale. What to know : Pudgy Penguins is emerging as one of the strongest NFT-native brands of this cycle, shifting from speculative “digital luxury goods” into a multi-vertical consumer IP platform. Its strategy is to acquire users through mainstream channels first; toys, retail partnerships and viral media, then onboard them into Web3 through games, NFTs and the PENGU token. 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