Aave and Lido Reach Record Net Deposits in DeFi Sector

The decentralized finance (DeFi) sector has witnessed a significant milestone, with Aave and Lido Finance collectively surpassing $70 billion in net deposits for the first time in history. According to recent data, Aave leads the pack with $34.3 billion in net deposits, closely followed by Lido Finance’s $33.4 billion.

Market Dominance and Growth

The combined net deposits of Aave and Lido Finance account for 75.25% of the $89.52 billion allocated to the top five decentralized applications. This marks the highest ever recorded, with the two protocols representing 45.5% of the total funds allocated among the top 20 DeFi applications. LDO takes the lead in total value locked (TVL) at $33.8 billion, followed by AAVE at $20.6 billion.

DeFi Sector Growth and TVL

The DeFi sector has experienced substantial growth, with year-to-date TVL rising by 107%. On December 16, TVL reached $212 billion, marking the first time this value has surpassed $200 billion.

Revenue Performance

The revenue performance of Aave and Lido Finance also highlights their strength. AAVE generated $12.5 million in revenue over the last 30 days, growing by 27.5%, while LDO reached $9.6 million, thanks to platform growth of 24%.

Decentralized Exchanges and Trading Volumes

In addition to net deposits, the DeFi ecosystem has also seen a record in trading volumes of decentralized exchanges (DEXes). In November, DEXes reached almost $380 billion in volume. The share of trading volume carried out on DEXes compared to centralized exchanges hit 13.86% in October, the second highest ever recorded.

DeFi Lending Market and Yield Farming

The DeFi lending market has grown significantly, with current loans counting up to $21 billion in December. This is the largest monthly figure to date. Yield farming and staking represent major tools in DeFi, forming a $200 billion stablecoin market. These tools allow users to earn rewards or borrow using stablecoins, enhanced by DEXes and liquidity pools.

Stablecoins can also traverse into different blockchain networks, furthering their versatility and ease of usage. This growth in the DeFi sector is a positive sign for the industry, with Aave and Lido Finance leading the charge.

For more news and updates on the DeFi sector and cryptocurrencies, visit Global Crypto News.

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