DeFi Economy Lost Over $20 Bln This Week

While the cryptocurrency markets in general have dropped significantly, the decentralized finance (DeFi) economy has lost more than $21 bln in the last week. Statistics showed that the total-value locked (TVL) reached $87 bln on May 11. Since then, TVL has dropped to $66 bln.

Decentralized Finance (DeFi) was a very hot topic in 2021 as the TVL in DeFi brought in billions of dollars in just a few months. Last week, the TVL in the DeFi economy, according to defipulse.com, showed that the DeFi economy was about to hit $100 bln. Last Tuesday, the TVL totaled $87 bln.

On May 19, TVL fell more than 24% to $66.6 bln. Crypto assets leveraged in the DeFi economy such as Ethereum (ETH), Binance Coin (BNB), and many existing ERC20 assets have lost significant value over the past three days. ETH is down 30% and BNB has lost 26% in the last 24 hours. The only DeFi tokens that have not lost value are fiat-pegged stablecoins such as DAI, USDC, and USDT.

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