As the decentralized finance segment keeps growing and expanding, it becomes all the more important to keep track of any ongoing changes. Over the past few days, a few things have changed in the DeFi landscape. Some projects are making big waves, whereas others struggle a bit. All statistics are provided by DeFiPulse.
The Current DeFi Top 5
Following the recent developments involving Compound last week, the project has officially surpassed Maker as the top DeFi project. Some of that momentum catapulting Compound to the lead has evaporated, however.
Despite noting heavy inflows of funds lately there is also more money moving off the platform this week. For now, Compound still manages over $564 million in assets. Its native COMP token has seen a major price decrease after peaking at nearly $370 a few days ago.
Maker will remain in second place without too much effort. After being dethroned by Compound a few days ago, the project hasn’t seen any notable changes whatsoever.
Its core business model is still very solid. Even so, its total value locked – or TVL – remains on the decline, and may drop below $450 million in the very near future.
Although Synthetix isn’t often mentioned in the DeFi sector, the project is making some waves. Its TVL has increased significantly recently.
All week, the platform has noted a positive TVL change, with spikes of $14.37 million, $15.4 million, and $15.58 million on separate days. The project also has over 75.35% of its native token supply locked, which will be of great interest to a lot of people.
Aave’s business model of decentralized lending and borrowing has attracted a lot of positive attention lately. The platform’s TVL is growing slowly but steadily, which is a healthy sign.
It still notes a healthy increase in TVL over the past week, further confirming that users are happy with the service. With over $122 million in TVL today, the minor dip in TVL over the past few weeks will not cause any major issues.
Balancer is a surprising name in the DeFi top 5 right now. The project has not made too much an impact during the initial stages. This n-dimensional automated market maker has potential for those looking to earn trading fees.
In the past week, its TVL has skyrocketed, primarily over the past few days. A total of nearly $37 million has been added to the platform in four days, indicating that the platform has become of greater importance.
Lightning Network Drops Below $9 Million
Keeping tabs on the Lightning Network is crucial during these times. This layer on top of Bitcoin is designed to improve scalability for smaller transactions.
Without sufficient liquidity, it will not gain much traction right away. So far, the LN liquidity has not been overly impressive. Strong growth was noted in May of 2020. Ever since, there have been ample ups and downs, for reasons unknown.
According to today’s statistics, the LN has roughly $8.9 million in overall liquidity. This is not a terrible figure, but it may not necessarily be enough to make much of a difference either.
Pushing the overall liquidity back over $10 million remains a key challenge at this time. The liquidity peak of June 2019 is well behind us. Reaching it again will, given the current circumstances, be anything but straightforward.