Market research firm Kaiko has published a study on the flagship protocol of Ethereum, Lido Finance (LDO). The study is a must-read for every ETH and LDO investor! Cautionary tales serve as a valuable reminder of the risks and pitfalls that can await even the most promising projects. Remarkably, Lido Finance has embarked on a massive growth trajectory in recent months, reminiscent of former crypto industry poster child Three Arrows Capital (3AC). Riyad Carey, analyst at Kaiko, writes: Essentially, 3AC made a bet that GBTC – a fundamentally different asset than BTC, with significant frictions in entrance and exit – would closely track BTC’s price. This saga has been front of mind as I’ve observed stETH (and other liquid staking derivatives) begin to displace ETH in DeFi protocols. Research Findings By Kaiko The in-depth research conducted by Kaiko offers critical insights into Lido’s operations and the potential risks it faces. According to Kaiko’s analysis, “Lido’s success story raises concerns about potential vulnerabilities and risks lurking beneath the surface.” By examining a wealth of data, Kaiko she ..
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 Doomed To Repeat Three Arrows Capital’s Fate?){kind=link}