Ethereum: This is how this blockchain skyrocketed DeFi’s TVL!
The Total Value Locked (TVL) in the context of decentralized finance (DeFi) defines the total value of assets locked in DeFi protocols and smart contracts. In other words, it measures the total amount of cryptocurrencies locked and utilized in various decentralized financial services. These services include liquidity pools, borrowing and lending protocols, decentralized exchange platforms (DEXs), among others. TVL is often seen as an indicator of the popularity and adoption of different DeFi protocols. It acts as a barometer of this crypto ecosystem. Indeed, according to recent data, DeFi’s TVL is at the peak of its form thanks to the dynamism of Ethereum. This article explains the ins and outs of this trend.