Distributed finance (defi) has taken a recent This is a major blow to the root of the crypto market. Today’s TVL for Defi is down more than 70% from its all-time high (ATH) of $253.91 billion on December 2, 2021. In addition, since December 2021, the top smart contract platform token has lost 70% of its value against the US dollar as well, sliding from $82.3 billion to $245 billion today.
Defi continues to get hammered in the market carnage, with the top smart contract platform tokens recording significant losses
While so many cryptocurrencies, including Bitcoin (BTC), the leading crypto asset in terms of market valuation, have dropped significantly in value, smart contract platform tokens and decentralized finance (defi) in general, have taken a major hit.
Terra’s LUNA and UST falloutsparked flames, Celsius issues , Three Arrows Capital (3AC) and lack of trust in algorithmic stablecoins continue to roar the defi fire; six days ago, Bitcoin.com reported reportedthat defi and smart contract coins were hit hard and at the time were still worth $104 billion locked into countless defi protocols.
Today, the total value (TVL) locked to defi is $742.7 billion and is down 70.74% from its all-time high on December 2, 2021, 197 days ago. DefiProtocol’s Makerdao was dominant with $74.27 billion, of which $7.75 billion, or 10.43%, came from TVL in applications.
Over the past 24 hours, the overall TVL of 118 different blockchain networks fell 6.03%; Makerdao’s TVL fell 15.19% over the past seven days, and Aave, the second largest protocol in terms of TVL size, last week fell more than 40%.
Today, Ethereum commands of the largest TVL blockchains, at $47.33 billion (64.18% of total lock volume). The second largest defi blockchain with respect to TVL size is Binance Smart Chain (BSC), at $6.06 billion or 8.22% of the $7.427 billion locked in defi today.
Tron is the third largest blockchain network in terms of TVL size, at 3.99 billion or 5.42% of the total value locked across 118 chains. Additionally, according to Dune Analytics the total amount locked to cross-chain bridges from Ethereum has decreased by over 60% in the past month. metrics .
Smart contract platform coins, a commonly utilized token in Defi, have also fallen over 70% since December. At that time, the market capitalization of all smart contract platform tokens was$82.3 billionand is now hovering just above$245 billion
Ethereum (ETH) leads smart contract platform tokens as it has collected $131.5 billion of the $245 billion. ETHis down 39.3% over the past seven days, with most smart contract tokens seeing substantial losses over the past week.
Avalanche (AVAX) lost 34%, Binance Coin (BNB) lost 25%, Cardano (ADA) lost 22.5%, Polkadot (DOT) lost 20.7%, and Solana (SOL) lost 22.3% in seven days. One of the only smart contract coins that has not fallen over the past week is chia (XCH), which is up 1.2% against the USD.
What do you think about the losses smart contract platform tokens have seen over the last year as their defi-locked value has slipped to new lows? Let us know what you think about this subject in the comments section below.
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