Crypto analytics firm Glassnode says that three decentralized finance (DeFi) assets are looking bullish as demand for the sector heats up.
DeFi is on the rise in August with decentralized lending and borrowing projects Compound (COMP), Aave (AAVE) and Maker (MKR) garnering huge interest in their products, according to Glassnode.
The analytics firm indicates that the three protocols have seen a total of $42 billion worth of deposits as lending collateral.
Aave has $19 billion total deposits, followed by Compound with $16 billion and Maker with $7 billion, according to Glassnode.
Glassnode indicates that borrowing on DeFi platforms is also up, with the combined borrowed capital on these top three platforms hitting $21.7 billion.
“Interest rates have also shown some volatility of late, as demand for borrow livens up. Total value borrowed has surpassed the ATH [all-time high] set in May whilst total deposited collateral remains slightly below the ATH by $2 billion.”
Aave borrowers have taken out $8.5 billion in total, Compound borrowers have taken out $7.4 billion, and Maker borrowers have taken out $5.8 billion, according to the analytics firm.
Glassnode also suggests that decentralized exchange (DEX) volume is projected to rise compared to previous months, indicating that the DeFi sector is again receiving heightened attention heading into the remainder of the year.
Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/sdecoret