There was a massive increase in the TVL of the Tron Network. So, we will take time to explain the meaning of TVL and what this means for the Tron ecosystem. Let’s dive in!
What is Total Value Locked (TVL)?
- It is imperative to understand the meaning of TVL before moving to the recent increase in the Tron Network. So, TVL measures the total value of digital assets staked in a particular decentralized finance (DeFi) platform or decentralized application (dApp). In the crypto industry, the higher the TVL, the more trustworthy the perception of the platform or dApp.
- The calculation of the TVL of a platform goes into a wide range of things. So, it generally involves adding up the digital assets currently locked in a specific DeFi protocol or smart contract. Some of the things involved in these calculations are cryptocurrencies, stablecoins, and other digital assets.
Tron Network TVL Increases to New Level
- Tron Network TVL Increased to new levels, according to data from DefiLlama. So, there was a massive upward trend in the TVL that made it reach over $6.7 billion. In the daily, weekly, and monthly data, there’s an enormous increase in different variations. So, in the daily data, there’s an increase of more than 2%. In the weekly data, there’s an increase of more than 4%. On the other hand, there’s an increase of more than 30% in the monthly data.
- One of the things to note with the Tron Network is that it does not have as many protocols as other blockchains. So, Ethereum, for instance, has about 918 protocols. And then the newly launched Base has around 131 protocols. However, Tron Network only has about 25 protocols in its ecosystem. So, it is impressive that they have a TVL of more than $6.7 billion with such a number of protocols.
- Another thing that contributes heavily to the increasing TVL on the Tron Network is the number of active users. So, the number of active users on the Tron Network is more than Ethereum, Base, Solana, Polygon, and Optimism combined together. It has an impressive 1.53 million active users.
Top 10 Contributors of TVL on Tron Network
- Certain protocols within the Tron Network contribute to a large influx of TVL. So, there are top 10 platforms with a greater amount of TVL than the rest.
- The number one platform here is Just Lend, a lending platform that contributes more than $4.6 billion in TVL on the Tron Network. So, the number two here is stUSDT, with around $1.7 billion worth of TVL. The number three is JustStables, with about $1.5 billion TVL. Following suit is SUN, which has approximately $580 million TVL. So, the number five is UniFi Staking with $1.6 million TVL. Others include SocialSwap, NEOPIN Staking, TronNRG, JustMoney, and Intercroneswap.
- In conclusion, there’s a new influx of locked assets on the Tron Network. So, this places it on the number 2 of the TVL rankings. There was a massive increase in TVL, moving the value to more than $6.7 billion.
The information provided in this article is for informational purposes only and should not be considered financial advice. The article does not offer sufficient information to make investment decisions, nor does it constitute an offer, recommendation, or solicitation to buy or sell any financial instrument. The content is opinion of the author and does not reflect any view or suggestion or any kind of advise from CryptoNewsBytes.com. The author declares he does not hold any of the above mentioned tokens or received any incentive from the company.