![]() ![]() It does not constitute or contain any individual investment advice and is made without any regard to the recipient’s objectives, financial situation, or means. This report is for general informational purposes only. is not a registered or licensed advisor or broker. Return to the Cryptoeconomic Research Libraryĭisclaimer: ConsenSys Software Inc. We enable funds to trade, stake, borrow, lend, invest, and interact with over 17,000 DeFi protocols and applications. MetaMask Institutional offers unrivalled access to the DeFi ecosystem without compromising on institution-required security, operational efficiency, or compliance. Increasing activity and interest in the DeFi market is a testament that millions of people, institutions and sovereign nations, are planning to participate in a new economic system that is powered by code-one that sets new standards for financial access, opportunity and trust.Ĭryptofunds, market makers, and trading desks can interact with these DeFi protocols with MetaMask Institutional The latest example is Jane Street Capital, a large market maker, borrowing up to $25 million in the stablecoin USDC through a DeFi Protocol (Clearpool) offering permissionless pools. However, we do know that crypto is becoming a recognized global financial asset as sovereign nations and traditional institutions adopt DeFi products and bring liquidity on-chain. There doesn’t seem to be any indication of short-term factors that could reverse the bearish trend for crypto markets. Recent months volume continues to print more growth relative to prior year though less overtime. Loans were also up for Aave (+10%) and Compound (+19%) while the others continued to decline.ĭEX activity continued to slow down with total trade volume for the month of April staying relatively flat from prior month at around $86 billion. When decomposing month over month changes, Aave was the only lending protocol where deposits (+2%) were up. The total value of deposits for the three largest lending protocols (Aave, Compound and Maker) at the end of April was $30.1 billion (-7% MoM) while the total value of borrowing was $16.6 billion (flat MoM). Meanwhile, cumulative DeFi revenue has remained flat at around $4.4 billion. The total monthly revenue as of April month-end was $159 million. Monthly revenue generated by popular DeFi protocols continued to decline (-3.6%) as usage slowed across major DeFi protocols. Overall, these metrics suggest the DeFi ecosystem continues to be bearish on fears of Fed tightening and macro-headwinds. Despite TVL being down 11% for Ethereum, it continues to be the dominant smart platform (63%). Similar to prior month, the largest detractor in total value locked was Fantom at -32.6%. Terra also continued to gain more share of TVL (16%) across top blockchain platforms and is the second largest after Ethereum. The value locked across all the top chains were down except for Terra which was up slightly at 2.1%. The total value locked (TVL) in smart contracts across top blockchain platforms was $178 billion as of April month-end, down -9.6% MoM. Although users may have multiple wallets or addresses, this data point serves as a worthy pulse on the overall health of the DeFi ecosystem. Cumulatively, the total number of DeFi wallets sits at around 4.7 million today. In comparison, the growth rate was around 4% last November when Ethereum’s price reached a peak of around ~$4,700. The average 20 day growth rate for DeFi wallets has significantly slowed down and sits at around 1% as of April month-end. Meanwhile, Bitcoin has been demonstrating less volatility relative to other sectors in the crypto market.Īs of April, the DeFi market cap (top 100 DeFi coins by Market Capitalization) also slumped back down this year from its March highs to $106 billion. Ethereum underperformed Bitcoin possibly due to the recent news that the transition to proof-of-stake will be delayed until later this year. Year-to-date performance for DeFi underperform crypto-beta (represented by ETH and BTC) and is down 47% while ETH and BTC performed better at -24% and -18%, respectively. Since last November, the downward trend in performance continued for the risky assets as the market continued to encounter macro-headwinds including high inflation and rising real yields. ![]() March gains in DeFi and more broadly the crypto market were short-lived as most of it was given back in April. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |