Total Ethereum (ETH) locked in DeFi hits new all-time high
Since December 2017, the number of Ethereum (ETH) locked in Decentralized Finance (DeFi) has increased by 22,400%, reaching an all-time high of 4.5 million ETH.
Why Ethereum locked in DeFi strong growth?
In the past month, more than 1,000,000 ETH (worth $ 146 million) has been deposited in DeFi products. In particular, MakerDAO alone, the decentralized credit platform behind DAI, has requested 500,000 ETH deposits since mid-November. MakerDAO currently holds nearly half of the ETH locked in DeFi. And the reason is that MakerDao has launched Multi-Collateral Dai (MCD). This is a significant upgrade that extends the range of accepted collateral types besides ETH. At the same time, MCD allows users to create interest in DAI.
Faced with the recent buzz surrounding the Ethereum Foundation is planning to stop funding for most of the internal teams, this growth is encouraging for the future of the Ethereum ecosystem. The use of ETH in DeFi will be an attractive catalyst for the recovery of ETH price.
In particular, the third quarter of 2019 recorded an increase of 1,589% in the number of new addresses compared to the second quarter, as well as a rise of 497% in the name of loans issued.
We have the top 5 DeFi platforms as follows:
- Maker – 2,300,000 ETH
- Synthetix – 1,100,000 ETH
- Compound – 619,400 ETH
- InstaDapp – 236,700 ETH
- Uniswap – 180,100 ETH
However, Ethereum’s big exposure in the DeFi market may not come without risks. Blockchain developer, Micah Zoltu, has warned of security holes in MakerDAO. This vulnerability will allow bad actors to usurp over $ 340 million of ETH from Maker, Synthetix, Compound, and any DAI integrated system.
The Maker Foundation said it was aware of this problem. However, it is because of Zoltu’s article that the vulnerability will be more exploited. Therefore, the platform came up with a solution that proposed developing a user security management module, which could be provided to affected parties – including potential victims of the vulnerability – 24 hours to vote or veto changes.
- Ethereum Has Undergone A Software Upgrade That Promises To Allow Over 3,000 Transactions Per Second
- Ethereum Price Just Lost Key Support Area, But Will Soon Reach $ 190