Total Value Locked (TVL) at Liqwid Finance increased 80% in April, an update on the April 30 offering.
Liqwid Finance is a non-security money marketplace that allows users to borrow and lend digital assets without an intermediary.
Liquid Finance subsidiary TVL rose 80% in April
According to DeFiLlama, the analytics platform Liqwid Finance Manages $15.5 million in assets, up 80% from March 2023 and an orderly expansion of 12% in the past week.
The protocol is now one of the fastest growing dapps in the Cardano ecosystem, trailing only Minswap, a decentralized exchange (DEX); Indigo, a protocol for lending and borrowing; and WingRiders, a swap platform.
Liqwid Finance has a higher TVL value than Djed coin, a stablecoin based on the Cardano algorithm, and SundaeSwap, DEX.
The sharp expansion of Jed Finance TVL coincided with the dramatic expansion rejection An improvement proposal that would have seen the platform adjust filter criteria in each market.
Specifically, the aim was to increase the liquidation reward for several markets, affecting ADA, DJED, and SHEN, a JD stablecoin-related token. The liquidation bonus could have been increased from 10% to 30% for the ADA and DJED markets.
DeFi activity is recovering
All in all, the DeFi protocols in Cardano, a smart contract platform similar to Ethereum, cumulatively manage just over $155 million in various assets.
While Cardano’s DeFi TVL is relatively lower than Ethereum’s, AUM has more than tripled from around $50 million in early January to set prices. However, at spot rates, the blockchain only manages half of what it closed in March 2022 when all of Cardano’s DeFi protocols managed over $320 million in assets.
Cardano TVL’s expansion coincided with an increase in ADA prices. In the past four months, the coin is up 66% after bottoming out at $0.24 in December 2022. As cryptocurrency bulls recover, DeFi activity has revived after a sharp downturn throughout the crypto winter of 2022 when asset prices plunged. To be clear, Cardano (ADA) prices are down over 90% from August 2021 peaks when the coin surged to $3.
As of April 30, DeFi TVL is worth $49 billion as Ethereum-based protocols manage more assets. Lido Finance, a liquidity storage protocol, is the largest DeFi protocol that manages $12 billion in assets, ahead of MakerDAO, another decentralized money market; Which manages $7.4 billion of various tokens.