Bitcoin, Ether Now Represent 44% of the Value Frozen in DeFi
The exponential growth of decentralized finance (DeFi) sector in recent times has resulted in $4 billion worth Bitcoin (BTC) and Ether (ETH) locked in a span of five months.
As per the DeFi Pulse, the quantum of Ether frozen in DeFi covenants rose 218.5% since June, increasing from 2.70 million ETH to 8.60 million ETH. Locked Bitcoin has increased over 3,000%, from 5,000 BTC at the end of June to about 158,800 BTC at the time of writing this article.
CoinList cryptocurrency exchange, on October 14, made a record for the maximum value of Bitcoin tokenized by a single firm in a day utilizing the Wrapped Bitcoin covenant.
CoinList minted 4,997 WBTC or $57.10 million worth Bitcoin for the benefit of its customers for utilization on the Ethereum blockchain.
So far, the value of Ether (ETH) locked in DeFi protocols is $3.24 billion, representing 7.6% of Ethereum’s aggregate market capitalization.
In spite of the huge amount of BTC and ETH taken in by DeFi schemes, Bitcoin and Ether that remains locked accounts for 50% of the total value locked (TVL) in the industry, collectively making up 44.6% of the industry’s $11.33 billion.
DeFi Pulse does not give info on the percentage share of DeFi’s TVL that rest of the particular assets such as SNX, DAI or COMP account for.