The total locked value (TVL) of the DeFi market exceeded $100 billion, and the predictions of industry bodies at the end of last year came true.
DeBank in April, various DeFi applications including Ethereum, BSC, xDai , and Polygon chains have locked up $103.86 billion worth of encrypted assets. The website’s statistics have not yet included the lock-up value on the Heco chain. If the $7.89 billion locked on the chain is added, the total locked-up value of DeFi supported by various mainstream chains has reached $111.75 billion.
From the perspective of application types on each chain, the lock-up volume is highly concentrated in the two application scenarios of decentralized exchange (DEX) and lending.
Among them, the lock-up value of PancakeSwap, a DEX application on the BSC chain, has reached 13.3 billion US dollars, exceeding The ace DEX Uniswap on the Ethereum chain . Currently, there are 63 DEXs with more than $1 million in TVL.
Compound on the Ethereum chain is still the top application in the lending scene, with a lock -up value of $9.8 billion. There are more than 40 popular lending applications on the three major chains of Ethereum , BSC and Heco.
Obviously, DEX and lending have become the red ocean market on the chain. Developers want to break out of these two fields.
First, they need innovative products. Second, they need governance tokens to show excellent performance. The two are often closely related.
Decentralized derivatives and revenue aggregator applications are also showing signs of becoming a red sea. There are as many as 21 derivative applications appearing on the three major chains, and revenue aggregation applications have exceeded 29. The cross-chain assets that are concentrated in the pain points of DeFi users still belong to the blue ocean market in terms of the amount of locked positions and the number of applications.
6 of the top ten TVL lending applications
The blossoming of DEX provides users on the chain with sufficient trading options, but after all, DEX is only an infrastructure for value transfer, and the greater imagination of the DeFi market lies in the emergence of various applications.
From the TVL rankings statistics by DeBank , among the top ten DeFi protocols in TVL, except for 4 DEXs, the remaining 6 seats are occupied by lending applications. Among them, Compound is the leader in the lending sector, with a TVL of $9.8 billion, followed by Maker, Venus, AaveV2, and Liquidy , with TVLs of $9.6 billion, $7.7 billion, $5.5 billion, and $4.4 billion, respectively.
Lending applications account for 6 of the top ten TVL agreements
If DEX supports half of DeFi lock-up volume, then the lending protocol is the face of this open financial market at the application layer.
about 40 lending applications with a certain user and capital scale, and the sum of TVL exceeds 40 billion US dollars, accounting for 36% of DeFi’s current total locked value of 111.75 billion US dollars.
Since most of the current lending applications require over-collateralization, the utilization rate of funds is low. Leveraged mining applications such as Alpha Homora and Booster have also emerged. On the basis of borrowing, they have increased the utilization rate of users’ funds by increasing leverage, allowing users to enlarge the amount of funds to obtain more funds under the condition of limited funds. High income.
X Parallel Space
However, users need to pay attention that when using leveraged mining, impermanent losses will also be magnified, and they will face the risk of liquidation when the market fluctuates violently. In addition, after the capital volume is enlarged, the transaction slippage also increases exponentially, and users need to be alert to the loss of funds caused by excessive slippage.
“Aggregated income” is a blue ocean to assets cross-chain
When DEX and lending applications go hand in hand, income aggregators, derivatives and other sectors are also emerging one after another. Among them, the aggregator is also a popular track at the moment.
DeFiBox data shows that 29 aggregate revenue applications have appeared on various chains. The top TVL is PancakeBunny built on BSC, with a total locked value of $ 6.71 billion, followed by InstaDapp and yearn (YFI), with TVL of $3.76 billion and $2.85 billion, respectively.
Revenue Aggregation Sector TVL Ranking
The concept of aggregate income has emerged since the outbreak of liquidity mining last year, and YFI is a pioneer in this field. It helps users capture higher returns by intelligently finding and switching liquidity mining pools with higher returns. YFI is also vividly likened to a “machine gun pool” by users.
In the process of the development of the aggregation revenue sector, more and more aggregator applications are born, and strategies are constantly evolving, such as the X Parallel Space deployed in the BSC chain ,
X Parallel Space breaks the stagnant fortress in the field of lending with a brand-new investment concept. Unlike other products, X Parallel Space helps DeFi users obtain greater returns with less capital with a leverage of up to 10 times.
So how does X Parallel Space provide benefits to users? What are the plans for the future?
Miners: X Parallel Space provides users with up to 10 times leverage, helping users get high returns with less capital;
Fund lenders: Fund lenders can earn interest on borrowers;
Liquidators: Liquidators seek risk liquidation and earn 5 % liquidation bonus.
Lossless mining (no leverage):
Users can mine in the lossless mining pool by exchanging synthetic assets xHT , x USDT , x HBTC , x ETH , and the generated XPS will be automatically distributed to the miners.
Liquidity mining (coming soon)
users can exchange synthetic assets x HT , x USDT , x HBTC , x ETH to use leverage in the lossless mining pool to get up to 10 times the XPS reward.
About X Parallel Space X Parallel Space is an over-lending protocol based on the BSC chain released by X Parallel Space Lab , which supports users to participate in liquidity mining through over-lending and leverage to obtain greater benefits, for those who want to participate in the flow of DeFi projects Sexual mining, and suffers from providing solutions for users with insufficient funds, and at the same time provides a lending pool for users who prefer stable income to earn interest income.
XPS is the X Parallel Space protocol governance token and will serve as the core token of the entire X Parallel Space product portfolio. Current and planned use cases for the token include mining rewards, governance voting, and more.
X Parallel Space will work on the following work:
Open liquidity mining and Dao governance
to create a sustainable user profit model.
Mitigate gratuitous losses for liquidity providers.
Create a strong community of DeFi enthusiasts and promote the ecological development of X Parallel Space
Of course, in addition to the DEX, lending, aggregator, cross-chain and other tracks, insurance, NFT, fundraising platforms, fund asset management and other scenarios have also begun to be deployed on the chain, although their market size is still small, but with the area With the improvement of blockchain performance and the continuous increase in the number of users, the overall market size of DeFi is expected to reach a new level, and the total locked value of 100 billion US dollars may only be the beginning.
DeFi do you think will become the next flashpoint?