Lido is moving towards shared governance with stETH holders through a proposed system called 'Dual Governance.'
The Dual Governance system allows stETH holders to delay the execution of DAO proposals they disagree with, with delays dynamically adjusted based on opposition levels.
The flexible approach aims to address governance frictions in liquid staking by giving users time to react to proposals, especially important for ETH withdrawal queues.
This governance update could redefine user protections and protocol upgrades in DeFi and has already gained early approval, with a final vote set to conclude by June 30.