Key Takeaways:
Lido Finance will end Polygon staking services by June 16, 2025, after a 99% community vote.
Ethena Labs’ USDtb stablecoin hit $65.4 million TVL in 24 hours, boosting interest in ENA.
ENA token trades above $1.24, with a $1.53 resistance level supported by rising volume and technical indicators.
YEREVAN (CoinChapter.com) — Lido Finance has announced it will end staking services on the Polygon network by June 16, 2025, citing low adoption and changing priorities. The decision followed a community vote in which 99% of LDO token holders supported the exit.
Lido on Polygon Sunset Announcement. Source: LidoFinance
The team highlighted challenges such as resource-heavy maintenance, lower rewards, and the decentralized finance (DeFi) sector’s shift toward zkEVM solutions. According to Shard Labs, which introduced Lido’s staking services to Polygon in 2021, the demand for Polygon proof-of-stake (PoS) staking has declined.
Lido users can still withdraw staked MATIC through the Lido interface until June 16, 2025. Withdrawals will temporarily pause between Jan. 15 and Jan. 22, 2024. After June 16, users will need to rely on browser tools to process withdrawals.
Lido Polygon Shutdown Timeline. Source: LidoFinance Polygon Network’s Current Metrics
As of Dec.16, Lido holds $41 million in staked tokens on the Polygon network. According to DefiLlama, the Polygon network’s total value locked (TVL) stands at $1.2 billion, with Lido contributing a small share. Despite its reduced presence, Lido Finance remains the largest liquid staking protocol with $38 billion in TVL.
Lido Total Value Locked and Market Metrics. Source: DeFiLlama
This move mirrors Lido’s earlier decision to exit the Solana blockchain, announced last year due to concerns over financial sustainability and low user adoption.
Ethena Labs’ ENA Token Gains Momentum
While Lido exits Polygon, Ethena Labs’ ENA token is drawing attention. The launch of its USDtb stablecoin, backed by BlackRock’s BUIDL Fund, accumulated $65.4 million in total value locked (TVL) within 24 hours.
Technically, the ENA token is showing bullish trends. The price remains above the 20-day exponential moving average (EMA), which indicates short-term support. It is also testing the 0.786 Fibonacci retracement level at $1.24, a key price point that traders monitor.
Key Resistance Levels for ENA Token
Volume data shows increased trading activity supporting ENA’s upward trend. The 50-day EMA is moving higher, reflecting longer-term stability for the token. If the ENA token holds above $1.24, the next resistance level lies at $1.53, which marks the 1.0 Fibonacci retracement level and its previous all-time high.
The relative strength index (RSI) stands at 66, signaling active buying momentum. This value, while near overbought territory, still leaves space for further movement.
