Lido Plans 0x02 Migration for More Than 265,000 Ethereum Validators

Lido’s Curated Module v2 is designed to migrate more than 265,000 Ethereum validators to 0x02 compounding credentials, a change intended to consolidate validator infrastructure and reduce consensus-layer traffic.

The migration was projected to increase the share of Ether (ETH) secured by compounding validators from 32.06% to 52.21%. The figures were published as projections tied to the planned migration on July 27, 2026.

Ethereum’s Pectra upgrade increased the maximum effective balance for a validator from 32 ETH to 2,048 ETH and enabled multiple 32 ETH validators to be consolidated into one. That change allows protocols operating large validator fleets to reduce the number of validator records required to manage the same staked assets.

Under legacy 0x01 withdrawal credentials, balances above 32 ETH are automatically withdrawn rather than added to the validator’s balance. The 0x02 compounding format allows rewards to remain in the validator balance and compound up to the 2,048 ETH maximum effective balance.

Lido estimated that consolidation could cut the network’s validator total by about 252,000, leaving roughly 628,000 validators instead of 880,000. The migration was also estimated to reduce Ethereum consensus-layer attestation messages by approximately 29% per epoch.

The changes are part of a broader effort to make Ethereum’s validator infrastructure more efficient as larger effective balances become available. The network-wide effects remain dependent on completion of the planned consolidations.