Victor Ugochukwu · Dec 14, 2020 . 5min read
BREAKING: DeFi Bullrun Soars Higher as TVL Hits $6bn across Protocols
Exactly $6.04bn is spread across the protocols with Maker clearly maintaining its lead.
By Victor Ugochukwu · Aug 16, 2020 . 5min read
Call it the DeFi Bullrun, and you’re not mistaken because interests in this sector of the crypto industry aren’t slowing down with the latest being Total Value locked – TVL hitting $6bn across decentralized protocols.
Interestingly, it was just Friday that the TVL touched $5bn. As at press time, exactly $6.09bn is spread across the protocols with Maker clearly maintaining its lead as DeFi industry leader. Data from DeFi Pulse shows that Maker captures about 24% of the non-custodial loans issued.
Again, Aave trails closely at the second position with about $1.1bn locked-in. Another dark horse in the DeFi race is Curve Finance. An automated market maker (AMM) designed to facilitate low slippage swaps between tokens with similar prices now has almost $1bn TVL. By the way, Curve Finance barely launched its governance token – CRV barely 3 days back.
Clearly, the interest in the DeFi sector isn’t waning even with debilitating gas fees. Ethereum, as the platform of choice for DeFi users, has seen crippling gas costs. This has almost become the norm for the past 3 months. In fact, for the first time since the network went live in 2015, transaction fees surged past block rewards.
Surprisingly, a fatal bug led to the demise of YAM protocol which saw a record $600m TVL locked in just within hours of launch. Even though the YAM team described it as an experiment, DeFi users clearly FOMOed in to take advantage of the Bullrun happening at the moment.
Protocol users shoot up during the DeFi Bullrun
Accordingly, DeFi users across the different protocols are also growing across boards. In fact, data shows the growth curve as a parabola indicating an upward trend.
As at press time, total DeFi users has surpassed 264,000 during this Bullrun. Whether this impressive DeFi growth is a bubble that is about to burst or continue growing is still just speculations.