Close
Binance Research Says Heralds Crypto Resurgence. According to Binance, investment in digital currencies has doubled. And most of all, we are witnessing the growth of a certain sector.
According to the digital currency report, and quoted by the research arm of the digital asset exchange Binance, the level of capital that has entered the crypto space has experienced a two-fold increase since the beginning of the year.
In a new report, Binance Research says we are witnessing a “revival of the markets”. Especially decentralized financing (DeFi) which has been one of the fastest growing units.
Significantly, the massive growth of the market has been accompanied by a significant influx of capital into DeFi. “This capital inflow boosted total value to $94.9 billion this year, up from $54.2 billion at the beginning of the year, representing a strong 75.1 percent year-over-year growth.”
However, Binance’s research arm says that the DeFi market cap has yet to experience a commensurate increase in on-chain liquidity.
According to Binance research, almost all DeFi sub-sectors have seen significant growth in inflows.
Gone are the days when only sub-sectors such as Decentralized Exchanges (“DEX”) were the main drivers of DeFi markets. This diversity is fundamentally critical if DeFi is to achieve its ambitious revenue projections, such as the US$231.2 billion forecast by 2030. Achieving this requires the development of a diverse set of marketplaces capable of unlocking new financial primitives and enabling users to maximize prices. All of this stems from DeFi.
The liquid reset DFI sub-sector recorded the highest percentage growth in total locked-in value, followed by the yield market. Only the DeFi sub-sector of Collateralized Debt Position (CDP) saw a slight decrease in the total value locked.
