DeFi’s Market Share in Crypto Industry Surges by 18% During November
November saw a significant increase in the share of the decentralized finance (DeFi) sector in the cryptocurrency market, rising by 18% compared to the previous month. Non-fungible tokens (NFTs) also experienced a boost in trading volumes, with a recent surge of 200%, as reported by Binance Research.
Throughout the year, the DeFi sector’s share remained stable at around 3.8% to 4.1%. However, November marked a departure from this trend, with a notable growth of 18% that pushed the sector’s share to 4.44%. This increase can be attributed to the impressive performance of THORChain, PancakeSwap, Uniswap, and Synthetix.
Furthermore, the total value locked (TVL) in DeFi protocols has seen a 25% increase since the beginning of the year, with an additional 14% surge in November alone. The TVL figure has consistently hovered between $45-50 billion throughout the year, but the recent dynamics suggest a breakthrough of the $50 billion milestone.
Ethereum (ETH) continues to dominate the DeFi space, accounting for over 56% of the total TVL. Tron (TRX) takes second place with a 16% share, followed by BNB Chain (BNB) with a 6% share.
The largest category this year was liquid staking, which amounted to $27 billion. The majority of this amount can be attributed to the Lido Finance protocol, with $20 billion. Analysts believe that the growth was facilitated by the Shanghai update.
Alongside the surge in Bitcoin’s price in recent weeks, the entire cryptocurrency market has experienced a significant increase. At the beginning of November, the market capitalization stood at $1.28 trillion, but by the end of the month, it had risen to $1.43 trillion. In December, the market capitalization of the cryptocurrency sector surpassed $1.6 trillion.
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