Lido, the largest liquid staking protocol, has just expanded its offer with something that has been missing for a long time – a vault for stablecoins. EarnUSD is the first product of this type in the Lido ecosystem and a clear signal that the protocol is serious about conquering the DeFi segment, which it has so far avoided.
What is EarnUSD and how does it work?
EarnUSD accepts USDC and USDT tokens and places them in USD-denominated strategies on Ethereum. The product philosophy is based on balance – on the one hand, conservative lending positions ensuring stability, on the other hand, selective exposure to more efficient strategies such as RWA (Real World Assets) or structured products. Users receive an earnUSD token representing their position and benefit from automatically compounded interest.
Marin Tvrdić, head of Earn Partnerships at Lido Ecosystem Foundation, says it plainly: Stablecoins are a fundamental part of DeFi, and until now we have not served these users. That changes today with EarnUSD
Cleaning up the product line
Relaunch is not only a new vault, but also an organization of the products offered. Lido launched the Earn product line in September 2025, initially offering three thematic strategies: Golden Goose Vault (DeFi blue chips), DVV (Distributed Validator Technology initiatives), and stRATEGY (exposure to stETH opportunities in DeFi). Over the last few months, they have attracted deposits of nearly USD 250 million – a good result, but the product structure was too complicated.
Lido DAO contributes its own money
To emphasize the seriousness of the situation, Lido DAO is dumping USD 5 million from its treasury directly into the new vaults. Moreover, the protocol declares that any losses will be covered if something goes wrong. This is a rare level of commitment from the protocol itself and a clear signal of building trust in the new product architecture.
Users of existing GGV, DVV and stRATEGY vaults are encouraged to migrate to the new solutions.
