Top Blockchains By Blocked Funds In July 2022Admin
The current crypto winter is a first for the young DeFi sector. According to the genre’s classics, decentralized application tokens suffered more than others due to the market fall. For the 2nd quarter of 2022, AAVE, UNI, CRV, and other DeFi cryptocurrencies fell by an average of 70%. In comparison, Bitcoin lost only 55% of its price.
Many investors have lost capital in liquidations of credit transactions. As a result, the volume of locked assets in DeFi protocols has plummeted. In the first 6 months of 2022, total TVL has halved (from $274.86 billion in January to $84.66 billion in July).
The largest outflow of funds was observed in May. After the collapse of one of the largest Terra ecosystems with LUNA and UST coins, investors withdrew $102.23 billion from decentralized protocols. However, users retained confidence in the market. For the 2nd quarter, only 34.5% of clients left the projects.
According to experts, in the current conditions, only 20% of applications, in which 80% of industry value is concentrated, will be able to survive. A vigorous shake-up will force developers to upgrade systems, benefiting the sector.
There are 513 decentralized applications deployed on the Ethereum network. The largest (MakerDAO, Curve, Lido) contains 34.8% of total TVL ($18.4 billion). 83.66 million active wallets are connected to the ecosystem. Almost 99% of transactions in them are carried out with DeFi projects.
Second, regarding the volume of blocked assets is Binance Smart Chain. In July 2022, investors keep $7.26 billion (8.64% of industry TVL) in network protocols.
423 applications are running in the BSC ecosystem. The largest (PancakeSwap, Venus, Alpaca Finance) accumulate $4.65 billion. The network processes 3.76 million transactions per day.
Tron became the third in terms of the volume of placed assets. In July 2022, there are only 10 projects deployed in the ecosystem. However, 6.83% of the industry value ($5.74 billion) is concentrated in them. The most popular are JustLend, SUN, and JustStables. Users entrusted them with $5.71 billion.
The top 5 largest blockchains by TVL also included:
- Avalanche — $3.41 billion (4.06%).
- Solana — $2.58 billion (3.07%).