DeFi Tokens are Surging Despite the General Crypto Market Being in Correction

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DeFi
DeFi Tokens are Surging Despite the General Crypto Market Being in Correction

The worldwide crypto market cap stands at $1.81 trillion, a 0.18 percent fall from the previous day. The entire cryptocurrency market volume for the previous 24 hours is $83.26B, a 12.07 percent fall. The entire volume in DeFi is present at $11.66B, accounting for 14.00% of the total 24-hour volume in the crypto market.

AAVE is Gaining

Some DeFi protocols such as AAVE and MKR have seen their tokens rise in value due to new protocol modifications and suggested expansion initiatives. In the last 24 hours, Aave has increased by 9%. In the last week, Aave has increased by 26%. Several factors favor the 54th largest crypto asset, including that prominent sharks and whales have collected together 70,000 $AAVE, worth $10.7m in the last two months. Recently, Aave’s price action has primarily been driven by the release of the “V3” upgrade. In the recent update, many new integrations include Layer-2 scaling solutions, gas cost optimizations, and tons of new crypto wallet integrations. Aave commands an impressive $19.37 billion, according to DeFi Llama, a data dashboard for all things DeFi. The total market value for the entire sector is more than $250 billion, which gives Aave a roughly 7% share.

Maker (MKR)

Over the last day, the Maker decentralized credit platform saw its MKR token gain 10.5%. Its developers proposed a new growth strategy that would involve raising capital through the sale of MKR tokens and issuing debt. This strategy would allow the platform to expand its Real World Asset market and raise funds at a higher rate. Over the last day, the Maker decentralized credit platform saw its MKR token gain 10.5%. Its developers proposed a new growth strategy that would involve raising capital through the sale of MKR tokens and issuing debt. This strategy would allow the platform to expand its Real World Asset market and raise funds at a higher rate. The plan involves selling MKR tokens and issuing debt. The proceeds from these transactions increase the platform’s System Surplus, which would allow it to take on more risky loans. Notably, the proposal is still in the early discussion stages, but the MarkerDAO community positively receives it.

Synthetix

Synthetix is another DeFi blue-chip experiencing positive price action with a 10.9% gain over the last day. It is likely due to the upcoming launch of the SNX perpetual futures contracts on the Ethereum platform. The SNX perpetual futures contracts will allow users to trade with up to 10x leverage across various assets. Hence, users get an additional revenue stream.

Yearn Finance

Yearn.finance has a current market cap of $699,126,368 and is 0.84% in the last 24 hours. It is a decentralized loan platform that enables users to borrow money without going through a central institution. Investors can invest in loans through Yearn.finance by depositing funds into the platform. The interest rate they pay depends on a variety of factors.

FTM Token

After a difficult few weeks for the DeFi-centric ecosystem, Fantom’s FTM token has gained roughly 11% in the last 24 hours. Developer Andre Cronje announced on March 6 that he was leaving the DeFi sector (again). Consequently, it caused tokens from its projects, most notably FYM and Yearn Finance’s YFI, to drop. FTM is still down about 10% over the last seven days but has risen in the last day, presumably due to being listed for the first time on the eToro trading platform.

DeFi Tokens are Slowly Retracing

Due to Ethereum’s parabolic run, many key DeFi protocols have declined their valuations. However, these tokens are still precious to the ecosystem they serve. According to DeFi Pulse, the total value of all DeFi tokens locked in Ethereum is about $76 billion. However, this figure doesn’t consider various Layer 2 solutions also valued in the ecosystem. As the ecosystem grows, the payouts from newer protocols like Terra-based Anchor are becoming more competitive to investors than Ethereum’s blue chips.
Adam Robertson

Adam is outgoing young lad who likes adventures and discovering new things. Despite his boring life, He loves writing about cryptocurrencies and exploring what blockchain technology can do for the coming digital world where all adventures will be virtual.