The amount of value locked in decentralized finance (DeFi) has soared to $4 billion, according to the DeFi analytics and ranking site DeFi Pulse.
The decentralized finance platform shows the parabolic growth of the total value locked (TVL) in DeFi protocols this year.
WOW! $4 BILLION Total Value Locked in #DeFi 🎊
With the way things are going do you all just want to meet back here on Monday to celebrate $5B TVL? /s
chart: https://t.co/zqMQAGYCJ8 pic.twitter.com/YSnQRKC9vv
— DeFi Pulse 🍇 (@defipulse) July 25, 2020
The total value locked in DeFi protocols hovered below $1 billion in April. The amount skyrocketed to $3 billion on July 22nd only to surge to $4 billion on July 25th – representing an increase of over 33% in a matter of three days and over 320% in three months.
Platforms Maker (MKR), Compound (COMP), and Aave (LEND) are the top 3 DeFi protocols based on TVL. All three are lending protocols run on the Ethereum blockchain. According to DeFi Pulse, $1 billion is locked into Maker while $735.5 million and $456 million are locked in Compound and Aave.
DeFi Pulse tracks the TVL of 36 protocols at the moment with use cases including lending, derivatives, decentralized exchanges (DEXes), assets, and payments.
The amount locked in DeFi has grown steadily over the last few years. In 2018, the value locked in DeFi totaled just $180 million. By September 2019, that number soared to $1.22 billion.
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