InfStones, a key node operator for Lido Finance, is set to temporarily withdraw its Ethereum validators from the liquid staking protocol and implement key rotations in response to a significant vulnerability revealed by dWallet Labs’ security researchers.

The vulnerability, linked to the open-source library Tailon, was reported to InfStones in July 2023 and has since been resolved. Nonetheless, this event has led to the adoption of preventative security measures.

As the largest liquid staking protocol on Ethereum, Lido oversees 9.23 million ether, with a market value exceeding $19 billion. The protocol enables users to deposit ETH and participate in network staking through validator nodes, which in turn issue a derivative token to users as a representation of their staked deposit. A …