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      Lido: MetaMask Staking to exit its operated validator nodes, expected to complete before October 7, 2026

      PANews reported on October 1 that Lido stated on X that, following an investigation into an infrastructure breach, MetaMask Staking (formerly known as Consensys Staking) has taken precautionary measures to protect client assets related to the Ethereum validator nodes it operates.

      Lido said these measures include exiting the Ethereum (ETH) validator nodes it operates within the Lido protocol. The related operations may result in forgoing some staking rewards, and may incur downtime penalties due to future validator node shutdowns aimed at reducing potential network slashing risks. At present, the relevant validator nodes have begun the exit process, which is expected to be completed by October 7, 2026 at the latest (though not all withdrawals have been completed yet).

      Lido stated that stETH holders do not need to take any action. The ETH exited from MetaMask Staking's operated validator nodes is expected to gradually return to the protocol after the relevant validator nodes complete their exit, withdrawal, and re-entry into the staking cycle. Due to the current long Ethereum validator entry queue, the entire process is expected to take up to approximately 45 days. Staking is inherently a non-custodial model, and MetaMask will not manage staking withdrawal keys on behalf of clients.

      In addition, Lido's diversified node operator system, along with security mechanisms including an ad hoc reserve fund of more than 6,750 stETH, is designed to control and mitigate the impact on the protocol's normal operations.


      Source: PANews
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