This week has been an exciting time for decentralized finance (DeFi). The growing DeFi movement is receiving increasing attention from the public, with news that a variety of projects are seeing explosive growth and high levels of activity.
In particular, the DeFi project Aave saw its user base increase by a whopping 800% this week alone. The project, which provides users with a platform to lend and borrow cryptocurrencies such as Bitcoin, Ethereum and various tokens, has provided its users with seamless access to the DeFi market. Additionally, their native LEND token has seen a healthy bump in price, increasing by over 30%.
The excitement of the DeFi market also has not gone unnoticed by the mainstay digital currency, Ethereum. Ethereum has seen an increase in user activity as projects using the Ethereum network increase. Ethereum-based decentralized applications (dApps) are now seeing an average of 1.3 million active users a day, which is a 13% increase compared with three weeks ago.
At the beginning of the year, we saw a total of 1.2 billion dollars locked in the DeFi market, and while this has slowly ticked up each week, it hasn’t been until the past couple of weeks where we’ve seen explosive increases. The big news this week is that the total amount of capital locked in DeFi protocols has now exceeded the 2 billion dollar mark. Since the beginning of the week, total DeFi capital has increased by more than 1.1%.
It is evident that more and more participants are getting involved in the DeFi arena and this is expected to continue for the foreseeable future. With an increase in the scale of the DeFi market, the potential for new developers and innovators to jump in and create new projects is looking increasing attractive. As the market continues to build, it’ll be interesting to see how the projects of today shape the DeFi world of tomorrow.
If you’re looking to get into Defi, now is the right time. Recent growth and increased interest in the DeFi market can be seen across many different projects, which makes now the perfect time to jump in and get involved. Stay tuned for more updates on the DeFi market and be sure to follow us for the latest news on decentralized finance.