DeFi grew rapidly with a 3-fold surge - Kakiforex | Forex markets for the smart money. DeFi grew rapidly with a 3-fold surge DeFi grew rapidly with a 3-fold surge

March 4, 2021

DeFi grew rapidly with a 3-fold surge

 The native tokens for most DeFi projects saw rapid growth in the crypto sector.

For example, Aave and Sushi saw an increase in token value up to four and six times since 2021. The use of both DeFi products has also seen an increase over the past two months.

In fact, total locked-in value (TVL) is currently at $ 40 billion. Previously, on February 22 it had peaked at $ 45 billion, surpassing its previous value at the beginning of the year.

While crypto-currency projects such as Litecoin (LTC) and Ripple (XRP) focus on payment systems, DeFi projects focus on the wider financial industry. For example, AAVE and Alpha Finance Labs (ALPHA) offer a variety of loan options, including loan ability for stocks.

This platform offers its users the option to risk (stake) tokens. This can lock tokens to provide liquidity for decentralized exchanges (DEX), loans and other financial activities.

In return, users will earn interest measured by a metric known as the Annual Percentage Yield (APY). Based on the data, users are able to achieve as much as 73.25% APY in potential pools such as SUSHI / WETH.

The introduction of DeFi also aims to dominate and provide open access to all financial products even when faced with hacking attacks.

Recently, investor and even millionaire Tim Draper revealed the potential blockchain as a future to a more open world.

If more people follow Mark Cuban’s decision to invest in AAVE recently and Tesla’s $ 1.5 billion investment, the crypto and DeFi sectors have the potential to grow even faster in the future.