Against the backdrop of rapid growth of Ethereum, the total value locked (TVL) on MakerDAO’s smart contracts reached $3.15 billion.
Aave and Compound round out the top three in DeFi Pulse’s ranking. Each has a TVL of $2.18 billion. The largest decentralized exchange, Uniswap, sits in fourth place.
MakerDAO is one of the DeFi pioneers. The project, founded in 2014—a date by industry standards a long time ago—enabled users to lock collateral in Ethereum to generate DAI — an algorithmic stablecoin. Over time, DAI has become one of the main components of the new financial system — the decentralized lending market.
In 2020, the market capitalization of DAI grew more than twentyfold amid the DeFi frenzy.
The total TVL of the DeFi sector projects has also grown roughly twentyfold since the beginning of 2020, according to DeBank.
DeFi Chronicles in 2020: rapid growth, problems and obstacles for institutions
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