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The total amount of funds blocked in DeFi has renewed its all-time high

Amid the bullish dynamics of the Ethereum rate, the indicator of all assets blocked in the DeFi industry (TVL) exceeded the $ 32 billion mark.

Ethereum (ETH) has launched an attack on new all-time highs, targeting the $ 1,700 mark. Such dynamics organically looks against the background of the general dynamics of the decentralized finance segment, which continues to grow rapidly.

The DeFi industry is growing

The total size of all assets locked in the DeFi protocols (TVL) has overcome the psychological barrier of $ 30 billion and approached the $ 32.5 billion mark, which is a new all-time high.

Source: DeFi Pulse

At the same time, active growth is observed on various DeFi platforms. Tokens such as UNI and AAVE have updated all-time highs. An increasing number of users are showing interest in this industry as a profitable alternative financial system for lending and obtaining loans.

At the same time, DeFi users are not deterred even by the record growth in transaction fees on the Ethereum blockchain.

A year ago, the TVL indicator in the DeFi segment did not even reach $ 1 billion. Meanwhile, just a day earlier, the TVL indicator was approaching $ 30 billion. Further, at the end of yesterday, the increase amounted to about $ 3 billion.

Thus, in just one day, the size of blocked assets has grown by an amount exceeding the total size of the DeFi market just a year ago.

For the decentralization of finance!

There are a number of different reasons behind this dynamic. First of all, this is due to the social and economic difficulties that are now observed throughout the world. Decentralized finance offers people an attractive alternative to traditional schemes in the face of rising inflation and, in some cases, no access to a viable financial system at all.

DeFi projects offer users such traditional and demanded financial services as lending, deposits and currency exchange, staking, interest, but all this happens without the participation of intermediaries.

In addition, this new ecosystem also has additional value propositions. For example, Maker DAO, one of the top DeFi platforms with nearly $ 6 billion in assets locked down, offers extremely favorable lending options. Thus, it gives all users the opportunity to become sovereign banks and regulate their own competitiveness in the segment of loans and generate interest rates.

Another striking example is the largest decentralized exchange (DEX) Uniswap, which by its very existence, almost single-handedly, eliminated the need for an ICO. Now any project can immediately become a liquidity provider as a market maker without having to achieve expensive listing of its tokens on centralized exchanges.

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