Ethereum accounts for 96% of transaction in DeFi industry

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3 years ago

DappRadar: Ethereum accounts for 96% of transactions in the DeFi industry

The DappRadar team has released a Q3 report on DeFi performance. According to the report, over the past three months, the volume of transactions in the industry reached $ 125 billion, which is $ 113 billion more than in the second quarter. At the same time, 96% of the total volume of transactions fell on Ethereum.

According to DappRadar, the total value of cryptoassets blocked in Ethereum smart contracts has exceeded $ 10 billion, with Uniswap, MakerDAO and Curve leading the way. The total dollar value of crypto assets blocked in DeFi is $ 10.82 billion.

Ethereum also leads in the daily number of active wallets - over 57% of the total. The similar figure for Tron in the third quarter is 35%, and EOS - 5%. The researchers note that the largest contributions to the Ethereum protocol came from Uniswap, Sushiswap, Balancer, and Compound, which accounted for 56% of Ethereum's active wallets on a daily basis.

DeFi projects on EOS grew in popularity in Q3. Defibox, Dmd.Finance and DeFis Network had over 4,300 active wallets daily. That said, decentralized apps on Tron, including JUST, Zethyr Finance, Sun, and SharkTron, had 32,000 wallets.

DeFi's explosive growth is rooted in the yield farming strategy that has gained popularity thanks to the Compound lending protocol, the researchers note. In the first half of June alone, Compound's transaction volume totaled $ 4 billion.

The rise of the decentralized exchanges Uniswap and SushiSwap has resulted in billions of dollars worth of crypto assets on the DeFi market. In September, Uniswap generated $ 33 billion in transactions (60% of total DeFi transactions) when it issued a token to manage the UNI protocol.

In the third quarter, DeFi decentralized applications brought in about $ 59 million to their creators. Most of this revenue - $ 33 million - came from Uniswap. XReg recently stated that the EU cryptocurrency regulation bill poses risks to the DeFi industry due to the registration requirements for issuers of cryptoassets.

BitMEX Hires New Chief Compliance Officer Amid US Harassment

Crypto derivatives exchange BitMEX has hired a new Compliance Officer. This was preceded by allegations from the Commodity Futures Trading Commission and the US Department of Justice, according to which the exchange violated registration requirements and provisions of the bank secrecy law.

Malcolm Wright previously held a similar position at fintech company Revolut. At 100x Group, the parent company of BitMEX, he will be responsible for compliance with regulatory standards internationally. BitMEX is currently integrating a user verification program, which Wright will also have to monitor.

Wright has over 30 years of experience in legal compliance. “For me, compliance requirements are non-negotiable. This is a precondition that both regulators and institutional investors make on exchanges, he said. “I expect the 100x Group, through the BitMEX platform, to play a leading role in shaping the industry's engagement with regulators to securely enter digital markets.”

Since December 2019, BitMEX already has its own Compliance Officer, but this was not a top management position.


DeFi tokens showed high volatility over the weekend

While Bitcoin's price has remained relatively stable at around $ 11,300 over the past weekend, the tokens of the leading decentralized finance (DeFi) applications have been subject to volatility.

The Ren token, which supports the operation of the protocol of interaction between blockchains, has grown by 29% over the weekend and by 33% over the past week. The Chainlink token also showed gains on Saturday and Sunday - as of Monday morning, its price increased by 5% and by 18.3% over the week.

However, many other large tokens have lost value. Yearn finance's YFI token has dropped 5% over the weekend and about 10% over the past week. At the same time, in the middle of last week its price rose sharply from $ 14,700 to $ 18,360, and now it is trading at about $ 16,300. The price of the SushiSwap token has decreased by about 4% as of Sunday evening and by 22% over the week.

While some of the crypto assets that have fueled DeFi's growth in recent months have lost a lot over the weekend, the decentralized finance market itself hasn't been hurt. According to DeFi Pulse, the dollar value of crypto assets blocked in DeFi protocols reached 10.9 billion, while in June the figure was ten times less and only slightly exceeded $ 1 billion.

According to DappRadar's Q3 2020 report, Ethereum accounted for 96% of total DeFi transactions. DeFi user activity is mainly driven by farming.

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Comments

DeFi project are really great and with the ethereum this is very much making a great progress

$ 0.00
3 years ago

I have this research and it is almost getting to be true any stuff that is to be on Uniswap always will be promising as Uniswap are also fighting their way to the blockchain network

$ 0.00
3 years ago

a writer of quality like yours for real i am happy to read and dont mind reading it a thousand times over its all good to go

$ 0.00
3 years ago

How such cryptocurrencies are even taking over everything is really making me begin to think what will the paper money turn into by some years coming

$ 0.00
3 years ago

with this great amount of percentage it is sure that ethereum will for sure be in a situation that most transaction its in ethereum but we will see that Bch also reach that level

$ 0.00
3 years ago