CoinGecko has released their Quarterly Cryptocurrency Report for the Q1, and the report shows that Binance Smart Chain, Decentralized Finance, and BNB specifically absolutely crushed it. The growth in DeFi applications such as NFT’s, yield farms, decentralized exchanges and others, has pushed the TVL (total value locked) of BSC DeFi to over $35 billion today. To give you context on how that compares to the current king of DeFi, Ethereum, here is a graphic.
As you can see, in 3 months time, Binance Smart Chain was able to grow their DeFi dominance from 3%, to 27%. In that same timespan, Ethereum dropped from 97%, down to 73%. This is likely driven by the faster and cheaper transactions on BSC, something that greatly improves Decentralized Finance.
BNB Outperforms All Other Crypto Assets in Q1
The first quarter of the year brought a lot of token price appreciation to many different cryptocurrencies such as; ADA, BTC, ETH, and DOT, however none gained as much as BNB. In Q1, BNB gained 710%, much higher than the project with the next highest appreciation, ADA at 555%. With the massive increase in users on Binance Smart Chain, and Binance’s continued efforts to burn BNB tokens by the millions, it’s no surprise the token has done so well.
Decentralized Finance Continues to Grow
Binance Smart Chain made the barrier to entry much lower for users to try out DeFi platforms, and partially because of that, the amount of money invested along with the amount of unique users has grown at an extremely impressive rate.
The current Total Value Locked (TVL) for DeFi projects on BSC is currently about $35b. While the global marketcap of all DeFi projects on all blockchains sits around $95b, up from $19b on January 1st 2021, which is an increase of 382%.
CoinGecko puts these PDF reports out each quarter to give investors an idea of the state of the industry at the moment. If you’d like to take a look at the full report, you can find it by going to their website at; CoinGecko Q1 Report.