Total
Value Locked in Decentralized Finance Apps Hits $1 Billion All-Time High
The total value of
cryptocurrency locked in the decentralized finance (DeFi) space has surpassed
the $1 billion mark this week, thanks to the cryptocurrency market’s positive
performance.
Data from DeFi Pulse, a website tracking the
space, showed the value hit $1 billion after rising exponentially over the
last 12 months, as in February 2019 little under $280 million worth of crypto
were locked in the DeFi space. At press time, some movements saw the amount
locked drop to $994.8 million.
Maker, an Ethereum-based
lending protocol, is the leader in the DeFi space, with over $600 million
worth of cryptocurrency locked in it. Maker allows users to issue the Dai stablecoin, traded on the Oasis app,
and earn interest on stablecoin holdings using the Dai Savings Rate (DSR). Other
popular decentralized finance applications include Compound, an application
that lets users earn interest on crypto holdings or borrow funds against
collateral.
While the total value locked
hit the $1 billion mark, the total amount of ETH locked has been hovering
around the 3.15 million ether for the last few weeks. The total value surged
as most cryptocurrencies have seen their prices rise so far this year.
