Total Value Locked in DeFi Drops by 30% YoY to $38.5B in October

October 8, 9:23 pm

The total value locked in DeFi (TVL) has been struggling over the past six months, but it has dropped even further after the recent bear storm.

According to data presented by, the total value locked in DeFi has dropped by almost 30% year-over-year, reaching $38.5bn last week.

TVL Falls to the Lowest Point This Year

DeFi activity has had a solid start to 2023, driven by a broader market recovery. With the trading volume and the number of users recovering, the market projections for 2023 and the following years have become more optimistic. This development significantly relieved DeFi investors, who had been closely monitoring the market's performance.

According to DeFi Llama data, the total value locked (TLV) in DeFi increased by 14% in the year's first quarter, rising from $41.5bn to $4715bn. It jumped to $52.8bn a month later, the highest value this year.

However, statistics show the total decentralized finance TVL has been constantly dropping since April. By mid-July, TVL fell by 16% to $44.3bn. Three months later, in September, this figure was even more down to $37.5bn, the lowest point this year. Although the first week of October saw TVL in DeFi rise to $38.5bn, this is still 28% less than in the same month a year ago.

Ethereum leads with a 54.5% share of the TVL market, reaffirming its status as the primary platform for DeFi projects and applications. However, this represents a considerable decrease from April, when ETH's market share stood at over 70%. On the other hand, Tron has more than doubled its market share in this period, rising from 6.5% to 17.8% and ranking as the second-largest blockchain in TVL size. Binance Smart Chain (BSC) and Arbitrum follow with 7.3%, 4.5%, and 2% TVL market shares, showing their growing importance in the DeFi sector.

Over 2.5M Unique DeFi Users in October, 10% Less than a Year Ago

According to Dune Analytics platform, which analyzed the number of unique addresses involved in buying or selling specific projects associated with DeFi, the number of DeFi users has also dropped in the last year.

In October 2022, there were roughly 2.7 million DeFi users worldwide. By January, this figure slipped to 2.53 million. However, the number of unique monthly users jumped by nearly 1.3 million in the next four months, topping 3.8 million in May, the figure last seen in April 2022. But it was downhill from there, with the number of DeFi users falling to 2.51 million last month.

Overall, the number of monthly unique DeFi users has plunged by 66% since its all-time high of 7.51 million in November 2021.

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