Crypto Locked In Defi Drops For the First Time Since Bull Run

Crypto locked in DeFi drops seemingly for the first time in a month after the bull run as the analysis suggests, it has now ended. In our latest cryptocurrency news, we are reading more on the analysis.

The amount of crypto locked in DeFi protocols ended the month in the red and this is the first time this has happened since the entire decentralized finance craze started this summer. While DeFi stagnates, Bitcoin is growing. October ended so there are now to more months for the end of 2020 and looking at the past month, many reflected on Bitcoin’s success as the coin ended October with the highest point ever technically seen.

The decentralized finance space was kind of left out in the bitcoin mania as the once-new and bustling industry of non-custodial financial products of exchanges and lending protocols, slowly got its hype dampened. Defi was all in rage this summer as investors poured billions upon billions of dollars into these smart contracts to earn lucrative rewards. Using the same metric, it’s now clear that Defi’s growth rate is slowing down.

At one point it seemed like its rise is unstoppable as the amount locked into Defi contracts rising almost a billion each week, seems to be slowing down now as the industry peaked at $12.4 billion this week. The growth most definitely slowed down as the amount of crypto locked in decentralized finance smart contracts was less than it was at the start of October. That’s the first time that this happened since the Summer Defi craze started.

There was $11.28 billion locked up in Defi protocols according to Defi pulse while by the end of October, there was $11 billion locked up in DeFi protocols. It doesn’t seem like much but considers that in August, the market doubled as there was $4.04 billion locked up in Defi smart contracts at the start of August, while at the end it was $9.37 billion. The slowed growth could be because of the fact that these protocols are not as profitable any more as they were back in the day, and that the new protocols are not coming out as fast as before.