Here is a summary of the article and its main points:
Summary
The article discusses the importance of total blocked value (TVL) in decentralized finances (Defi). TVL refers to the total amount of value blocked in defy protocols, stables and other decentralized financial instruments. The concept is crucial in understanding the growth and potential.
main points
- TVL as a measure of Defi’s growth : TVL can be used as a metric to evaluate the health and size of Defi projects.
- Stablecoins are key players
: Stablecoins, such as USDT (Tether), USDC (Cardano) and Dai (Daedalus), represent a significant portion of TVL.
- TVL grows with Defi’s adoption : As several users adopt Defi platforms, TVL tends to grow, indicating an increasing demand for these services.
- TVL is influenced by market volatility : TVL Stablecoins and other Defi assets can be volatile due to changes in market prices and interest rates.
- TVL has applications from the real world : TVL can be used as a metric for evaluating potential investments (ROI) and adjusted values for Defi projects.
Why does it matter
The article highlights the reason why TVL is important in Defi:
- Provides a reference point for growth : Measuring the blocked value in defy protocols, investors can evaluate whether these platforms grow or decrease.
- allows more informed decisions to be made : TVL can be used to compare the performance of different Defi projects and to make more informed investment decisions.
- Helps to identify risks and opportunities : TVL analyzing can help identify potential risks and opportunities in Defi space.
Conclusion
In conclusion, the total blocked value (TVL) is a crucial metric in understanding the growth and potential of decentralized finances (def). By analyzing TVL, investors and researchers can obtain information about the health and performance of different Defi projects, as well as to identify growth and investment opportunities.