The decentralized funding (defi) market ballooned to a three -year height of $ 153 billion on Monday, spurred by ETH’s ascension to $ 4,000 and significant influx to rest protocols.
Defillama -Data shows that Uptick in the influx and asset prices over the past week lifted the sector over its highest December 2024 to its highest point since May 2022, at the time of $ 60 billion collapse of Do Kwon’s Terra Network.
ETH has risen 60% from $ 2,423 to $ 3,887 over the past 30 days after a wave of institutional investment, including a $ 1.3 billion treasury from Sharplink Gaming and Bitmin’s acquisition of $ 2 billion.
Ethereum still commands the monopoly over Defi Total Value Locked (TVL) with 59.5% of all capital locked on the chain, most of which can be attributed to Liquid Stake Protocol Lido and Lending Platform, both of which have between $ 32 billion and $ 34 billion in Tvl.
The yield farming match
Institutions that acquire assets like Ether are one part of the equation, the other ensures a dividend at the top of this investment.
Investors can stick ETH directly and earn a modest annual yield between 1.5% and 4%, or they can go a step further and use a residual protocol that assigns native yields and a floating stakestoken that can be used elsewhere across the defi -ecosystem for additional yield.
X user Olimpiocrypto revealed a more complex strategy that can secure an annual return of up to 25% on USDC and SUMDC with low risk and full liquidity. The loops assets between Euler and Spark on Unichain: Users deliver USDC on Euler, borrow Susdc, deliver it again and repeat. Incentives from kicks (SSR + up -Rewards) and Euler (USDC -Subsidier, Real) boost Returns.
A lighter but less profitable alternative starts with minting Susdc via kick and looping with USDC loans/borrowing on Euler. Despite the UI UI -UVOVERSABLE, both methods allegedly give strong returns, probably lasts for a week, unless incentives change.
Solana and other blockchains
While much of the attention is understandably at the Ethereum network, Solana’s Tvl has grown by 23% in the last month to $ 12 billion, with protocols such as Sanctum, Jupiter and Marinade, all the wider sun ecosystem with significant influx, according to Defillama.
Investors have also poured capital into Avalanche and SUI, which are 33% and 39% respectively with regard to Tvl this month. The Bitcoin Defi Ecosystem has become more muted and increased by only 9% to $ 6.2 billion despite a recent drive to new record heights of $ 124,000.
