Following Bitcoin’s record high, DeFi TVL hit a record high of over $233B


On October 20th, with Bitcoin (Bitcoin) Surged to a record high of $67,000, pushing digital assets into uncharted territory. Investors are paying close attention to the reaction of altcoins and DeFi tokens to this move.

Crypto Fear and Greed Index. Source: Alternative.me

The DeFi industry has also benefited from the bullish breakthrough of BTC, and today the total value lock (TVL) of all DeFi agreements has climbed to a record high.

according to data DeFi Llama collects data from the DeFi protocols of all major blockchain networks, including Binance Smart Chain (BSC), Avalanche (AVAX) and Packaged Bitcoin (WBTC). There are now more than $233.88 billion in value locked in various protocols Blockchain network. Currently, AAVE leads with 18.79 billion U.S. dollars, and Curve ranks second with 17.97 billion U.S. dollars in lock-in value.

The total value locked in DeFi.Source: DeFi Alpaca

Due to the soaring price of Bitcoin, WBTC is now ranked fourth in TVL, with a value of 14.51 billion U.S. dollars deployed in the DeFi field.

The biggest increases in TVL in the past 7 days were Trader Joe’s 57.2% and Rari Capital’s 50.57%. Yak’s production also increased by 36.52%.

The stock with the biggest increase in TVL in the past 7 days.Source: Token Terminal

New users flooding into DeFi

In addition to the increase in the value of tokens, the inflow of new users to the DeFi ecosystem has also increased dramatically. Data from Dune Analytics shows that there are now 3,591,876 unique wallets interacting with at least one DeFi protocol.

The total number of DeFi users over a period of time.Source: Sand Dune Analysis

Despite the influx of new users, the trading volume of decentralized exchanges (DEX) is still lower than the high point set in May and is currently lower than the activity level in recent months.

Monthly DEX trading volume.Source: Sand Dune Analysis

One possible explanation for this is that people have paid more and more attention to BTC in the past few months because of speculation about when the Bitcoin Exchange Traded Fund (ETF) will pass and whether the BTC price will exceed $100,000 by the end of 2021. leading position.

related: With the price of ETH returning to $4,000, Ethereum is approaching a record high

The growth of stablecoins hints at the need for crypto in the future

Another factor that promotes the growth of DeFi may be the stable integration and injection of stablecoins.

The history of the increase in the circulating supply of Tether is very interesting. This largely coincides with the rise in the price of Bitcoin, and the recent rebound is no exception, because on the same day BTC hit a record high, and so did the circulating supply of USDT.

The total value locked in Curve also proves the importance of stablecoins to the entire DeFi economy. Curve is specifically used to create a stablecoin pool for the entire ecosystem.

The overall cryptocurrency market value is now $2.635 trillion, and Bitcoin’s dominance rate is 47.5%.

The views and opinions expressed here only represent the views of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading action involves risk, and you should conduct your own research when making a decision.