Defi TVL approaches $100B as crypto market surges

The total value locked (TVL) in decentralised finance (defi) protocols is nearing a landmark $100 billion, reflecting a strong uptrend in the broader cryptocurrency market.

As of 11 a.m. ET on Thursday, defi TVL stood at $94.491 billion, just $5.509 billion away from hitting this significant milestone, according to recent data.

Three top protocols are leading this growth.

Lido (CRYPTO:LDO) holds the highest TVL with $27.507 billion, followed by Aave (CRYPTO:AAVE) with $14.964 billion and Eigenlayer (CRYPTO:EIGEN) managing $11.906 billion.

These protocols have each shown double-digit growth over the past month, underscoring increasing user adoption in the defi sector.

This rise in TVL parallels a broader rally in the values of smart contract cryptocurrencies.

Ethereum (CRYPTO:ETH) posted a weekly gain of over 10%, while Solana (CRYPTO:SOL) rose by 12%, ADA increased by 9%, AVAX climbed 7.7%, and LINK advanced by 4.7%.

Some smaller tokens made notable gains as well, with SUI (CRYPTO:SUI) rising 16% and Gnosis (CRYPTO:GNO) surging by 22.5%.

As of November 7, the market capitalisation for smart contract-based cryptocurrencies reached $638.12 billion, showing a 13.8% increase for the day.

Ethereum dominates the defi landscape, holding over 55% of the TVL, with Tron (CRYPTO:TRX), Solana, and Binance Smart Chain contributing 7.1%, 7.03%, and 4.9% respectively.

The Bitcoin (CRYPTO:BTC) blockchain also accounts for 3.14% of the TVL, reflecting the growing diversity of blockchain platforms in defi.

The rise in defi’s TVL demonstrates sustained interest in decentralised financial systems and highlights defi’s strengthening role in the financial market.

According to industry data, the participation of multiple blockchains indicates a decentralised infrastructure that is not reliant on a single protocol.

This diversity enhances the resilience and competitiveness of defi, as its influence in the global financial ecosystem continues to expand.