The DeFI or Decentralized Finance, industry continues its massive growth trajectory as the total value locked within the DeFi markets hits $4 Bln, consistent with data from major industry website DefiPulse.com.
DeFi markets refers for the utilisation of blockchain, digital assets, and smart contracts in financial services like credit and lending to offer financial services without a requirement for a centralized authority.
The new threshold means that of over $4 Bln is now locked across smart contracts, protocols, and decentralized applications, or DApps, built on Ethereum [ETH]. At the reporting time, the leading DeFi provider, MakerDAO’s DAI stablecoin, is liable for just over 30% of Decentralized Finance markets, with $1.23 Bln locked.
As reported earlier, Ethereum [ETH] has rallied recently both in anticipation of Ethereum 2.0, and due to the optimism surrounding DeFi.
As of reporting time, Ethereum trades at around $356 USD, up over by 7% in the past 24 hours, consistent with data from CoinMarketCap. As previously reported, Decentralized Finance apps have some correlation to the Ether price, but aren’t entirely hooked onto it.
Earlier this week, cryptocurrency market analytics firm Messari reported that the entire capitalization of the DeFi sector is equivalent to solely 0.5% of the whole crypto capitalization. This now accounts for about $332 Bln.