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DeFi News

Linea to Auto-Stake Bridged ETH via Lido for Native Yield

Written By Dishita Malvania
Fact Checked by Dhara Chavda
Published 2025-08-05·Updated 12 months ago
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Linea to Auto-Stake Bridged ETH via Lido for Native Yield

Linea, the Ethereum Layer 2 built by Consensys, is rolling out a new feature that will automatically stake any ETH users’ bridge to the network using Lido v3. The idea is to fix these issues in DeFi right now: rewards are all over the place, and a lot of ETH just ends up sitting idle.

Called Native Yield, the feature will send bridged ETH back to the Ethereum mainnet and stake it through Lido, so users can start earning 3–5% staking rewards, with no extra steps and no manual effort.

According to Linea, the current DeFi environment is riddled with short-term yield chasing and incentive structures that fail to reward users sustainably. “Hunting for high APRs across chains has become a cycle of short-term gains and hidden risks,” the team said in an overview statement. “For ETH holders and DeFi participants, this environment is no longer just inefficient; it’s unsustainable.”

Native Yield aims to fix that by making capital productive from the moment it’s bridged. While bridged ETH typically sits idle unless deployed into DeFi protocols, Linea’s new feature allows the ETH holders to earn native staking yield while still being usable within the Layer 2 network. In effect, users and liquidity providers can benefit from Ethereum’s proof-of-stake rewards while still participating in DeFi activity on Linea.

Linea made it clear that the rewards come straight from Ethereum’s own staking system, not from risky lending or random tokens. It’s stable, low-risk, and fits perfectly with how Ethereum is meant to work in the long run.

The network also reiterated its broader commitment to Ethereum. Linea confirmed it will burn 20% of all net transaction fees, reinforcing Ethereum’s deflationary supply model rather than competing with it. “Linea is not here to compete with Ethereum; it’s built to extend it,” the statement added.

The Native Yield feature is expected to go live in the coming months. A confirmed launch date has not been shared yet.

Also Read: GameSquare to Fund Stock Buyback with Onchain ETH Yields

Disclaimer: The information researched and reported by The Crypto Times is for informational purposes only and is not a substitute for professional financial advice. Investing in crypto assets involves significant risk due to market volatility. Always Do Your Own Research (DYOR) and consult with a qualified Financial Advisor before making any investment decisions.

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