The market cap of DeFi as a percentage of the global currency market cap has fallen to its lowest in three years.
DeFi index as tracked by Coingecko showed that Defi ‘Dominance’ reached 3 year low falling to 2.81% amidst the recent market sell-off.
This represents the lowest point before “DeFi Summer” kicked off in 2021. The index is mostly made up of DeFi projects on the Ethereum blockchain but also contains projects from other blockchains like Solana and Base.
Bitcoin ETF Trading Volume Surge is Bad News as Crypto Liquidations Hit $1B
A bad day for crypto traders while high-volume in Bitcoin ETFs isn’t good news
With the introduction of ETFs, allowing institutions to gain exposure to digital assets, DeFi tokens seems to be largely ignore by market particpipants. Despite the lackluster interest, DeFi’s market capitilization still seats at 70billion, which is around 22% of Ethereum market’s cap at the time of writing.
Ethereum ETFs Are Going Live Today – Here’s Why it Matters
After months of back and forth with the SEC, Ethereum ETFs are set to launch today but will the products be as successful as their Bitcoin counterparts?
Blockhead
According to The Block, the low interest in Defi tokens could be due to a few factors namely the high Fully Diluted Valuations (FDV) of these tokens as well as the memecoin craze that is on-going.
Memecoins Top Crypto Narratives But Do They Deserve Your Respect?
Memecoins were the most popular crypto narrative in 2024 but is the hype justified?
Blockhead
With high FDV, investors have to be worry about upcoming token unlocks and inflation rate, potentially shunning many of them away. This is the complete opposite of meme-coins which may potentially offers multi-fold returns in a relatively short period of time. However it is still early days to count DeFi out given its potential use case in the tradtional finance industry.
DBS Completes Industry Pilot With DeFi Liquidity Pools
DBS today announced that it has become one of the first banks globally to test the trading of FX and government securities using permissioned DeFi liquidity pools on a public blockchain through Project Guardian.
Blockhead
This news is republished from another source. You can check the original article here
