# Lido Core Upgrade Consolidates Staking Infrastructure

> A major upgrade to Lido Core staking infrastructure bringing Ethereum validator count consolidation.

**Published by:** [ETH Daily News](https://ethdaily.io/)
**Published on:** 2026-07-27
**Categories:** lido, staking, maxeb, validator, ethereum, upgrade, steth
**URL:** https://ethdaily.io/lido-core-upgrade-consolidates-staking-infrastructure

## Content

Lido announced Lido Core, a major upgrade to its core staking infrastructure, introducing Curated Module v2, Community Staking Module v3, and changes to the Simple DVT Module, with the most significant change being a dramatic reduction in it's Ethereum validator count. Lido is migrating over 265,000 of its validators with legacy 0x01 withdrawal credentials into 0x02 credentials. The migration, enabled by EIP-7251 (MaxEB) shipped in Ethereum's Pectra upgrade, allows Lido to consolidate staked ETH. After the migration, Lido's validator count will be reduced to approximately 4,000 validators and reduces the total Ethereum network validator count by about 30%, from approximately 880,000 to around 628,000 validaors. The reduction cuts attestation messages by approximately 29% per epoch, meaningfully reducing consensus layer overhead and network congestion. The validator count peaked at ~1.1 million in summer 2025 and has been trending down since MaxEB launched. Lido's consolidation accelerates that trend significantly. The upgrade to Curated Module v2 also introduces ETH-backed bonding and penalty mechanisms, replacing the legacy trust-based model, alongside a new Node Operator Type Framework that classifies operators as Decentralization Operators, Extra Effort Operators, or Public Good Operators, with incentives tied to their contributions. Seven Ethereum client teams operating as Curated Node Operators have collectively received 8,710 stETH (~$21 million) in cumulative rewards to date. The CSM v3 upgrade adds Identified DVT Clusters (IDVTC) as a new operator type, enabling permissionless community stakers to run distributed validators via Obol or SSV at 1.5–0.5 ETH bond per key and up to 3.1x capital efficiency versus solo staking. The 72 regular Simple DVT clusters have been wound down following a recent DAO vote, with operators offered pathways to continue via CSM. No action is required from Lido stakers and stETH holders.. Disclaimer: Content is for informational and educational purposes only and does not constitute financial, investment, legal, or other professional advice. No representations or warranties are made as to accuracy, completeness, or timeliness. Use of this content is at your own risk, and you should consult a qualified professional before making decisions. No fiduciary or advisory relationship is created.

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