In November, the DeFi sector saw a significant increase in its share of the cryptocurrency market, rising by 18% compared to the previous month. NFTs also experienced a surge, with trading volumes spiking by 200%, as reported by Binance Research.
Throughout the year, the DeFi sector’s share had fluctuated between 3.8% and 4.1%, but in November, it saw a notable growth spurt, reaching 4.44%. Key players driving this growth included THORChain, PancakeSwap, Uniswap, and Synthetix.
The total value locked (TVL) in DeFi protocols has been steadily increasing since the beginning of the year, with a 25% rise overall and a 14% increase in November alone. The TVL figures ranged from $45-50 billion throughout the year, but with the latest trends, it is expected to surpass the $50 billion mark.
Ethereum (ETH) remains the dominant blockchain in the DeFi space, accounting for over 56% of the total TVL. Tron (TRX) holds the second position with a 16% share, followed by BNB Chain (BNB) with a 6% share.
Liquid staking emerged as the largest category this year, reaching $27 billion, largely driven by the Lido Finance protocol’s $20 billion contribution. Analysts attributed this growth to the Shanghai update.
The recent surge in Bitcoin prices has also propelled the entire cryptocurrency market to new heights. Starting November with a market capitalization of $1.28 trillion, by the end of the month, it had already surpassed $1.43 trillion. In December, the market capitalization exceeded $1.6 trillion, signaling continued growth in the sector.
For more updates and news, follow us on Google News.