If 2017 was the year of “general crypto” growth and 2018 the year of “stable coins” growth, then 2019 will be regarded as the year we saw an exponential growth in “decentralized finance”, referred to as DeFi. Over the past year, the total value locked in DeFi products grew as the field witnessed a rapid growth due to the increased number of new applications and protocols.
Total USD value locked in De-Fi grows to 4-month high
According to crypto data analytics firm, Defipulse, the total value in USD locked on DeFi products touched $666 million on Nov. 6, recording a four month high. DeFi system presents an accessible-to-all, decentralized and secure platform providing loans, leverage and derivatives trading and transfer of traditional financial assets on digital platforms.
The total USD value locked (TVL) in DeFi products has seen an impressive 37% growth since August currently at $663 million USD, as at time of writing. The sharp rise in TVL (measured in dollars) however falls short of the all-time high value of $700 million USD recorded in the summer.
Total value locked in Ether at all-time high
While the price of ETH is struggling to break the $200 mark barrier, the total value locked in ETH on DeFi products is at an all-time high with the ETH denominated value at 3.437 million ETH. The TVL (in Ether) crossed the 3 million ETH mark on Oct. 17 causing the market to take notice of the rising sub-industry in blockchain.
Ethereum based applications dominate the top 20 slots of value stored in DeFi products, holding 19 of the slots – the sole loner being the Lightning Network. Maker, a portal that offers DAI-collateralized loans, tops the charts with a dominance of 52.50%, after a slight 1.4% rise in the past 24 hours. Compound, InstaDapp, dYdX and Synthetix – all lending apps except for the last one – make the top five DeFi platforms with highest value of ETH locked.
TVL in DAI also hit an all-time high on Nov. 5 – a few tokens short of 30 million DAI locked in DeFi. A recent tweet by Defipulse, shows the extent of growth in DeFi products,
— DeFi Pulse 🍇 (@defipulse) November 4, 2019
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Been in the field since 2015 and he still love everything blockchain and crypto! FC Barcelona fan. Author and journalist. Follow him at @lujanodera.