Market Size & Growth Potential

Total Value Locked (TVL)

The TVL in DeFi protocols such as Compound, Aave, Uniswap has seen exponential growth, reaching tens of billions of dollars. This metric represents the total value of assets locked in smart contracts across various DeFi platforms, including decentralised exchanges (DEXs), lending protocols, yield aggregators, and other decentralised applications (DApps). The TVL is a key indicator of the overall adoption and activity within the DeFi ecosystem.

Trading Volume

Trading volume on decentralised exchanges (DEXs) has also witnessed significant growth, driven by increased trading activity, liquidity provision, and the emergence of new trading pairs and assets. DEXs empower users with greater control over their funds and lower fees than centralised exchanges, instilling confidence in their financial decisions.

User Adoption

The number of users engaging with DeFi protocols has grown substantially, reflecting increasing interest and participation in decentralised finance. However, it's important to note that DeFi also carries certain risks, such as smart contract vulnerabilities, impermanent loss, and regulatory uncertainties. This includes retail users and institutional investors seeking exposure to DeFi opportunities, such as yield farming, liquidity mining, decentralised lending, and asset management.

Evolving Ecosystem

The DeFi ecosystem has expanded beyond its initial use cases of decentralised exchanges and lending platforms to encompass a broader range of financial services, including derivatives trading, asset management, insurance, prediction markets, and decentralised autonomous organisations (DAOs). This diversification of DeFi applications and services caters to diverse user needs and preferences, fostering a sense of inclusivity and community within the DeFi space.