The total value of ETH locked in Decentralized Finance (DeFi) applications has once again hit the $1 billion mark, according to live data on DeFi Pulse, an analytics site that provides the latest analytics and rankings of DeFi protocols.
DeFi apps are financial products that make use of blockchain technology, digital assets, and smart contracts to provide different financial services such as credit and lending.
The total value of ETH in DeFi apps refers to the vast array of decentralized applications, smart contracts, and protocols that are based on the Ethereum network.
According to DeFi Pulse, this total figure is achieved by pulling the total balance of Ether (ETH) and ERC-20 tokens that are being held by these smart contracts and then multiplying these balances by their prices in USD, and this is done on an hourly basis.
The data revealed that Maker DAO is currently dominating with a total of $543.2 million, which makes up about 54.28% of the total ETH locked. It is followed closely by Synthetix with $126.1 million in its purse and Compound came third with $111.0 million.
The total value of ETH locked in DeFi apps had hit the $1 billion mark earlier in February. Sadly, though, the figures slumped to $558 million after the market crisis in March and finally settling at $360 million in the first week of April.
However, as the market continues to recover from losses incurred during the last crash, the total value of ETH locked in DeFi apps began to gain momentum and moved to a total of $702.2 million, just one week after it plunged to $360 million.
Speculations became wild in the market as to whether the total value will once again reach the $1 billion mark, considering the extreme volatility of the crypto industry.
The total value of ETH locked in DeFi apps has managed to push past the market crash to reach $1 billion today.