DeFi exchange volume down 15% on a monthly basis amid UNI, CRV price crash – VanEck
The decentralized finance (DeFi) landscape faced a challenging month in August as exchange volume dipped 15.5% to settle at $52.8 billion — led primarily by a decline in some of the most dominant DeFi tokens, according to data from investment manager VanEck. VanEck’s report also touched on global interest rates, especially in the U.S., and […]...
- Exchange volume in the decentralized finance (DeFi) landscape dipped 15.5% to $52.8 billion in August, primarily due to a decline in dominant DeFi tokens.
- The total market capitalization of stablecoins decreased by 2% to $119.5 billion, attributed to rising interest rates in conventional finance.
- Major DeFi tokens such as UNI, LDO, MKR, AAVE, RUNE, and CRV experienced significant decreases, leading to a 21% decline in the DeFi index.
- The DeFi sector's total value locked (TVL) decreased by 8% to $37.5 billion, outpacing Ethereum's 10% downturn.
- Despite the challenges, there were positive indicators, including the dismissal of a class-action lawsuit against Uniswap Labs and the growth of stablecoins like Maker and Curve.
- Curve Finance's stablecoin crvUSD reached a record high with $114 million borrowed in August, but the governance token CRV lost 24% of its value.
- Concerns were raised about the declining value of the CRV token and the potential liquidation of Curve Finance founder Michael Egorov's collateralized loan.
The article highlights challenges faced by the DeFi landscape in August, including a decline in exchange volume and DeFi tokens. However, there are also positive indicators such as the growth of stablecoins and the dismissal of a lawsuit against Uniswap Labs. Concerns are raised about the declining value of certain tokens and potential liquidation in the DeFi sector.