Lido approves conditional CSM expansion and a lower key-removal charge

What happened

Lido's Snapshot approved reducing the Community Staking Module's keyRemovalCharge from 0.05 ETH to 0.02 ETH and conditionally increasing its stakeShareLimit from 2% to 3%.

What changed

The approval authorized a future reduction in the safety charge applied when queued validator keys are removed and created a conditional path to allocate a larger share of Lido stake to CSM.

What did not change

Neither parameter changed on-chain in April. The stake-share increase remained conditional on other module and node-operator milestones or a later CSM v2 release.

Confirmed

• The Snapshot passed on April 21 with 63.9 million LDO for and one LDO against.
• The approved keyRemovalCharge target was 0.02 ETH, based on a conservative 20 Gwei queue-cleanup cost estimate.
• The approved stakeShareLimit target was 3%, up from 2%.
• The stake-share proposal also called for a 3.75% priorityExitShareThreshold and specified conditions involving SimpleDVT and Pier Two.

Still open

• The on-chain vote and execution transactions for each parameter.
• When or whether the stated conditions for the 3% stake-share limit were met.
• Final parameter values if execution was bundled with later CSM or Pectra changes.
• The operational effect on queue behavior, node-operator concentration, exits, and module allocation.

What it means for an advisor

• Review the Lido memo's CSM allocation, queue, penalty, and node-operator concentration assumptions.
• Verify executed parameter state and satisfaction of the conditional expansion criteria before treating either change as operative.
• Continue assessing CSM as a distinct staking-module dependency; governance approval does not establish lower risk.