BlockchainCrypto AdoptionCryptocurrencyDeFiEthereum (ETH)NewsSolana (SOL)StakingTerra (LUNA)

DeFi TVL Hits New High As Lido Expands Its TVL

DefiLlama’s data reveals that the current total value locked (TVL) in the decentralized finance (DeFi) sector, including the staking market, has reached an all-time high of $63 billion in 2023.

Lido Staking Protocol Increases Its TVL 

Lido, the leading liquid staking protocol, has contributed significantly to this figure by increasing its TVL to over $10 billion. However, even without staking, the TVL has crossed the critical threshold of $50 billion for the second time in March since the FTX crisis.

Lido Liquid Staking has increased its TVL on five different chains and currently holds a dominant position of 16.9%. Its TVL includes staked tokens across multiple chains, with Ethereum being the blockchain where Lido has the highest presence.

The protocol’s remaining liquidity is also spread on Terra Classic, Moonbeam, Moonriver, and Solana. Last April, the pool’s total value reached an all-time high of more than $20 billion.

Unfortunately, the LUNA crisis in May caused a sharp decline in its TVL. However, the platform recovered from the setback through incentives offered in the Curve pool before the FTX collapse further weakened the market.

Excluding staking, DeFi’s TVL surpassed $50 billion last month for the first time since the market felt the impact of the FTX saga in November 2022. Although it briefly dropped below this level at the start of March, the TVL has since recovered.

📰 Also read:  OpenAI Releases ChatGPT Application for Apple iPhone

Ethereum Shanghai Upgrade Increases Interest In Liquid Staking 

Meanwhile, the highly anticipated Shanghai upgrade for Ethereum set for next month has skyrocketed the demand for Lido. Once the upgrade is implemented, stakers will be able to withdraw their staked ETH, which is expected to boost the popularity of Lido further.

In addition to the potential surge in demand, the upgrade could also positively impact the price of Ethereum. Lido currently holds a significant amount of stETH, with 5.8 million of the token in its possession.


According to Fundonomics, a crypto researcher, the protocol boasts over 44,000 ETH depositors. Despite having strong partnerships, Fundonomics believes Lido’s biggest competitor is Rocket Pool.

DefiLlama reports that Rocket Pool holds 441,832 staked ETH, placing it in third position behind Lido and Coinbase’s wstETH (Wrapped Staked ETH). By staking ETH, Coinbase customers can acquire an ERC20 utility token.

On the other hand, Rocket Pool has contributed a substantial $806 million to the TVL in the DeFi space. According to Fundonomics, Rocket Pool’s position as the first and largest decentralized node operator for Ethereum gives it an advantage in the liquid staking sector.

📰 Also read:  Decoding the Epic Showdown Between Proof of Work and Proof of Stake

Aside from Lido and Rocket Pool, other protocols such as Ankr and StakeWise have also been experiencing a rise in demand.

Tokenhell produces content exposure for over 5,000 crypto companies and you can be one of them too! Contact at if you have any questions. Cryptocurrencies are highly volatile, conduct your own research before making any investment decisions. Some of the posts on this website are guest posts or paid posts that are not written by Tokenhell authors (namely Crypto Cable , Sponsored Articles and Press Release content) and the views expressed in these types of posts do not reflect the views of this website. Tokenhell is not responsible for the content, accuracy, quality, advertising, products or any other content or banners (ad space) posted on the site. Read full terms and conditions / disclaimer.

📰 Also read:  Guide: How to Buy Crypto Without KYC (Buy Bitcoin Anonymously)


Bradley Nelson

Bradley Nelson is a US based cryptocurrency news writer for Tokenhell, he helps readers stay up to date with the latest trends and news from the blockchain and crypto world. Bradley has been a crypto enthusiast since 2018.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Skip to content