The decentralized finance (DeFi) sector is experiencing significant growth, with on-chain lending protocols adding $2.3 billion in value locked (TVL) over the past 24 hours. This surge in TVL was accompanied by a $700 million increase in active loans and an average 7.7% price increase for lending-related tokens.
According to data from DefiLlama, decentralized lending protocols saw their TVL rise from $40.36 billion to $42.69 billion in just one day, representing a daily increase of approximately 6%. Active loans also saw a notable increase, jumping from $16.4 billion to $17.1 billion between April 21 and April 22, based on Token Terminal data.
Aave, one of the top lending protocols, experienced the most significant increase in active loans, with a $562 million rise in active debt, surpassing $11 billion. However, Aave’s revenue did not mirror this increase, falling from $418,000 to $67,430.
Among the top 10 lending protocols, Euler saw the second-highest daily increase in active loans, with users borrowing almost $30 million in the past 24 hours. Other protocols like Fluid and Compound also experienced significant growth, with daily increases of $14 million and $13 million, respectively.
The positive metrics for on-chain lending protocols were reflected in token prices, with lending-related tokens registering an average gain of 7.7% in the past 24 hours. According to CoinGecko, this makes lending tokens the fifth-best-performing crypto sector out of 22.
Data from Artemis shows that lending-related tokens outperformed the market’s average increase of 5.4%, with Maple Finance’s SYRUP leading the way with a 15.2% increase. Other tokens like Euler, AAVE, and MORPHO also saw significant price increases, with gains of 11.6%, 8.2%, and 7.2%, respectively.
Overall, the DeFi lending sector is experiencing rapid growth, with both TVL and active loans on the rise, accompanied by a surge in token prices. This trend highlights the increasing popularity and utility of decentralized lending protocols in the crypto space.