Research shows: DeFi realised over 250% return last year

In the just past 2019, decentralized finance has continued to grow, despite being generally bearish for most crypto assets. Recent research has found that a small investment in DeFi over the past year may have yielded more revenue than Bitcoin.

DeFi Year

If 2018 is the year of the ICO, then 2019 is undoubtedly the year of Decentralized Finance (DeFi). Due to the lack of attractiveness of Ethereum and its affiliated digital currencies, the smart contract-based lending market has proliferated.

However, the industry is still in its infancy. According to data from Binance Research, the number of monthly users is small, only about 40,000, of which 90% use a decentralized exchange.

According to data from, the total value of US dollars locked in DeFi has increased by nearly 200% to date. After hitting a record high of $ 710 million on Wednesday, it is currently about $ 660 million.

Ethereum still dominates and new records are constantly being broken. At present, the amount of ETH locked in DeFi has reached a historical high of 3.1 million, which accounts for about 2.85% of the total supply.

Cryptocurrency research company Messari has been performing some calculations and has concluded that if you invest $ 400 in the four major DeFi fields in early 2019 , you will get a return of $ 1,400 at the end of the year, with a return of more than 250%.

The study shows that asset management is the best performing industry, followed by forecast markets, borrowing, and finally decentralized transactions.

DAI storage rate becomes higher

MakerDAO accounts for 56% of the entire market and is already promoting DeFi to the masses. As a result of this foundation's CES technology show in Las Vegas this year, DAI has become the favorite stablecoin in Ethereum.

Governance holders of the agreement voted to increase the DAI savings rate (DSR) from 4% this week to 6% this week. MakerDAO launched DSR in November, and holders can use their DAI to invest in shares to earn "stability fees" paid by borrowers. This is a much higher yield than any statutory deposit account at a traditional bank, which is currently reducing interest rates to negative values.

Gregory DiPrisco, director of business development at the MakerDAO Foundation, commented that in the past decade, we just haven't found the return on this dollar-based deposit.

At the same time, Ethereum slowly retreated to a low of around $ 135 after the Bitcoin correction. Ethereum's bearish momentum may continue until Bitcoin finally bullish again.

Earlier this week, Bitcoinist reported that when the Ethereum price finally recovered, the DeFi market could easily reach $ 1 billion.

The original text is from Bitcoinist, compiled by the Bluemountain Labs team. The copyright in English belongs to the original author. For reprinting in Chinese, please contact the compiler.