• Lido's TVL rose nearly 10% last week.

  • This is due to rising ETH and MATIC prices and a surge in staking deposits.

Lido Finance [LDO], the leading liquidity staking protocol for Ethereum [ETH], has seen its Total Value Locked (TVL) surge by nearly 7% over the past week.

This is due to the price increase of ETH and Polygon [MATIC] and the surge in pledged deposits on the protocol. Between November 27 and December 4, the value of ETH and MATIC increased by 7% and 6% respectively.​

According to DefiLlama data, Lido’s TVL was approximately $21.32 billion at press time, an increase of 25% last month.

Lido's pledge deposits increased #Lido

After a brief drop in net deposits to the Ethereum beacon chain via Lido, the DeFi protocol has reclaimed its spot as the protocol with the most collateral deposits.

Data from Dune Analytics shows that Lido recorded a net inflow of $76,961 in new ETH staking deposits during the seven-day period reviewed.

Last week, Lido accounted for 50% of total ETH deposits. It was followed by Coinbase, which only accounted for 17% of all net deposits during the period.

Leading cryptocurrency exchange Binance saw the most ETH withdrawals last week in terms of outflows. Data from Dune Analytics shows that 32,000 previously staked ETH has been removed from the platform in the past seven days.

The annual percentage rate (APR) earned on ether staked on the protocol has been rising steadily since the beginning of the month and is at 3.83% at press time.

In addition to the TVL growth recorded during the week under review, the protocol also saw growth in deployment on leading Layer 2 (L2) platforms in the form of the amount of bridged stETH.

Data from Dune Analytics shows that the amount of stETH bridged to Arbitrum [ARB], Polygon, and Base increased by 0.01%, 1%, and 36%, respectively.

On the other hand, Optimism [OP] saw a 0.37% drop in the amount of stETH bridged during the review period.

So far this month, transaction fees paid by Lido users totaled $11.49 million, with $1.15 million in revenue.

In November, the staking platform had total transaction fees of $62 million and revenue of $6 million.