Transfer TRP to Lido Labs Foundation and Amend TRP Terms

Description

Tldr

• This proposal seeks to have Lido Labs Foundation assume the Token Reward Plan (“TRP”) from the grants association and assume the TRP Committee’s responsibilities for administering any LDO-based TRP. The TRP Committee’s multisig and all Easy Track integrations will be adopted and remain unchanged (except Easy Track AllowedRecipientsRegistry parameters specified in this proposal explicitly).
• Lido Labs Foundation shall manage the TRP multisig’s composition in accordance with existing DAO policies.
• The TRP shall be amended effective as of 8 November 2025 with reduced allocations for Lido contributors as well as a reduced vesting term. No change from 22,000,000 LDO allocated.
• Lido Labs Foundation will have the right to modify the TRP’s terms as needed to address market conditions.

MOTIVATION - DETAILS OF THE PROPOSAL

Change of Responsible Entity

The current TRP is administered by the TRP Committee, which sits under the grants association.

Lido Labs Foundation presents a better accountability and transparency mechanism than the current setup. The Bylaws, Memorandum, and Articles of Association (please see the Key Documents section of the Lido Labs establishment vote), Purposes, and directors of the Lido Labs Foundation are public and have been approved by the Lido DAO.

Also, Lido DAO can directly appoint/remove directors in addition to an individual or entity to serve as the Emergency Supervisor if an “Adverse Event” occurs (as defined in its bylaws). The Emergency Supervisor serves as a ‘liaison’ between the Lido community and Lido Labs Foundation and acts as an enforcer, helping to ensure Lido Labs Foundation complies with its public commitments by monitoring its performance and adherence to its own rules.

Furthermore, Lido Labs Foundation has assumed most of the existing service contracts between PML or ATC and Lido contributors dedicated to the activities within the scope of the Purposes (as defined in its bylaws), so it is a better fit to also manage the TRP, which is directed to such Lido contributors.

Therefore, this proposal seeks to consolidate the execution and reporting of the TRP under Lido Labs Foundation by having it assume the TRP from the grants association and the TRP Committee’s responsibilities currently with the grants association, while preserving the existing multisig, infrastructure, and controls.

Specifications

1. Governance scope a. Assign the TRP from the grants association to Lido Labs Foundation. b. Assign the TRP Committee’s mandate from the grants association to Lido Labs Foundation. c. Lido Labs Foundation shall adopt the TRP’s multisig and Easy Track integrations.
2. Multisig and infrastructure a. No changes are proposed to the TRP multisig or Easy Track integrations, which shall be preserved in their current form. b. Lido Labs Foundation shall be responsible for managing the multisig composition by adding/removing multisig members in accordance with its bylaws, unless in conflict with previously approved Lido DAO policies.
3. Reporting a. The TRP adheres to Lido Labs Foundation’s standard budgeting cadence, and reporting.
4. Program management a. Day-to-day TRP’s operations, roadmap updates, and policy revisions will be managed by Lido Labs Foundation, minimizing DAO-wide voting frequency. b. The authority to award TRP grants lies with Lido Labs Foundation, which retains discretion to amend the program’s terms in response to market developments. c. Lido Labs Foundation shall also be responsible for managing TRP allocations for Lido contributors engaged with Lido Ecosystem Foundation and Lido Alliance BORG Foundation. d. Lido Labs Foundation shall indemnify the grants association against any liability arising from TRP-related claims in respect of the period up to 7 November 2025.

Change of Terms

As of 7 November 2025, from the 22,000,000 LDO tokens that were allocated towards the TRP, which began on 1 November 2022, 15,007,165 LDO tokens have become vested as part of grants given to Lido contributors. Accordingly, 6,992,835 LDO tokens remain unallocated until 31 October 2026 (the end date of the current TRP program).

By making use of the unallocated LDO tokens, the new terms of the TRP are meant to better align short term and long term incentives for Lido contributors and better match market rates to retain and hire talent.

This proposal therefore seeks to amend the terms of the current TRP effective as of 8 November 2025, as follows:

• All unvested LDO tokens of TRP grants allocated to contributors as of 8 November 2025 shall lapse and be cancelled as of that date.
• Lido contributors still subject to the 1-year cliff as of 7 November 2025 will have all unvested LDOs as of such date vest.
• No change from 22,000,000 LDO allocated is requested from the DAO under the proposed Change of Terms.
• A new TRP LDO grant, utilizing the 6,992,835 unallocated LDO tokens, shall be allocated to existing and new Lido contributors.
• The new LDO TRP grants will have a lower level and skill multiplier.
• The TRP grants will be ultimately decided by Lido Labs Foundation, which will have flexibility to modify the TRP’s terms as needed to accommodate changing market conditions.
• The TRP grants of existing Lido contributors as of 8 November 2025 shall be subject to a 2-year vesting schedule without any cliff being applicable.
• The TRP grants of new Lido contributors shall be subject to a 2-year vesting schedule with a 1-year cliff.
• The applicable LDO price of the grant shall be the trailing 180-day close price of LDO as of the grant’s effective date, using the following Dune query as the source of truth.
• In case Lido Labs Foundation intends to continue with the TRP past 31 October 2026 (the end date of the current TRP program), a new request for LDO allocation pursuant to a new TRP shall be requested from the DAO at that future time.

IMPLEMENTATION

• Upon approval, the directors of Lido Labs Foundation shall, by way of directors’ resolutions, adopt the TRP Committee’s multisig and Easy Track integrations.
• The relevant documents shall be updated to reflect Lido Labs Foundation as the TRP steward and to effect the transfer of the TRP with the existing private keys and Easy Track pipelines.
• The allocation of the new TRP grants as described in the Change of Terms will take place after 8 November 2025.
• TRP Easy Track AllowedRecipientsRegistry parameters will be changed to enable the allocation of new TRP grants:
  • Limit → 15,000,000 LDO
  • SpentAmount → 0 LDO

VOTING OUTCOMES

If the “For” option wins, the Change of Responsible Entity and the Change of Terms will take place as described herein.

If the "Against" option wins, there will be no changes.