DeFi's TVL Surges to 2022 Highs, Driven by Restaking and Lending
The decentralized finance (DeFi) ecosystem is witnessing a resurgence, with Total Value Locked (TVL) reaching heights not seen since early 2022. However, not all categories are driving this growth equally.
Lending and Restaking platforms are leading the charge, with AAVE and Compound at the forefront of lending. Restaking, a newer category, allows users to stake liquid staking tokens like stETH for higher yields. Meanwhile, Decentralized Exchanges (DEXes) and Collateralized Stablecoins (CDP) are not as strong.
Bridges like WBTC and JustCryptos facilitate token transfers between different blockchains. The growth is mainly driven by new categories like restaking, which have made a significant start. However, the number of unique active wallets (UAWs) in DeFi has decreased by 21% since the beginning of the year. The increase in TVL is largely due to token price increases, especially Ethereum price, rather than new users.
Among Bridges, the cryptocurrency exchange platform with the highest total volume share within the DeFi category is Portal (formerly known as Wormhole). Speculation on the Ethereum ETF on centralized traditional exchanges also contributes to the growth of TVL.
While the DeFi ecosystem's TVL is soaring, it's important to note that not all categories are equally responsible for this growth. Newer categories like restaking are driving the surge, but user numbers have decreased. As Ethereum price rises, so does TVL, with speculation on the Ethereum ETF also playing a role.
