The total value locked (TVL) across all decentralized finance (DeFi) platforms has surged significantly in 2021 as the sector continues to attract more capital.
As of December 29, the total value locked in the DeFi space was $247.48 billion, growing by a staggering 1,222% from the January 1 figure of $18.71 billion or at least 13 times, data by analytics platform DeFi Llama indicates.
The all-time high value was recorded on December 1 at $260.12 billion
Furthermore, Ethereum’s dominance in the DeFi space is evident, with the network accounting for $154.83 billion or 62% of the total DeFi total value locked.
In general, the total value locked (TVL) is an essential indicator that measures the overall growth rate of DeFi. TVL reflects the value of funds users have collectively locked into DeFi projects. DeFi refers to a blockchain-based form of finance that does depend on central financial intermediaries like brokerages, exchanges, or banks to offer traditional financial products and instead leverages smart contracts on blockchains.