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Terra Became the Second Largest DeFi Platform for Two Reasons
Since January of this year, the DeFi sector has increased by more than 1300 percent, with Terra serving as a critical component.
Nobody would have predicted a month ago that Terra, a relatively unknown blockchain, would end the year with the second-largest LTV in the DeFi sector. This is a 200 percent increase in the value of Terra's native token, $LUNA. However, what precipitated this flight?
Terra currently has 13 DeFi protocols, with a 43 percent increase in the last seven days, according to DeFillama. Terra's TVL, on the other hand, was $ 9.1 billion 30 days ago, a 220 percent increase. This press will explain how this could happen and how you can immediately participate in the most critical Terra DeFi protocols.
A Summary of the Terra Ecosystem
When this press was prepared, Terra had 13 DeFi protocols totalling $20.4 billion in TVL. Additionally, only two protocols, Lido and Mirror, are supported by other blockchains, indicating that this blockchain is still in its infancy and has a long way to go before achieving widespread adoption.
Anchor, on the other hand, has accumulated 43% of Terra's total TVL, increasing its TVL by 39% over the last seven days. To illustrate how strong Terra DeFi protocols are at the moment, let's compare how much TVL each protocol in the first four blockchains has on average. Naturally, these are fictitious figures:
Each protocol costs $0.42 billion. Consider the fact that Ethereum contains 369 DeFi protocols.
$1.57 billion for each protocol on Terra.
Each protocol will cost $0.72 billion. 232 DeFi protocols are supported by BSC.
For each protocol, Solana will receive $0.3 billion. Solana is in possession of 41 Defi protocols.
However, how has Terra absorbed this amount of liquidity in just 13 protocols, gaining traction on well-known blockchains such as BSC (Binance Smart Chain) and Solana?
1. Extremely High Yields of DeFi
We will demonstrate how profitable Terra protocols can be in this article by examining the following:
Anchor: Currently, depositing and borrowing UST tokens earns you 19.4% and 18.88% annual percentage yields, respectively. Consider the following AVEE statistics and make your own comparisons: AVEE (In Matic) offers 3.4 percent and 3.9 percent annual percentage yields on USDC token deposits and borrowing, respectively.
Stader: This Terra platform maximises stake returns by utilising a smart compounding protocol that results in a 25% increase in returns. Stader now has three liquidity pools that offer a 9% annual percentage rate.
2. Highly Valuable Protocols
Terra has 13 extremely valuable protocols that attract a lot of liquidity due to the fact that they are available to anyone in the world without any restrictions and in a secure manner. This is what genuine decentralisation entails. As a result, we'll highlight the two best DeFi platforms that we believe accurately represent Terra:
Anchor, which has $8.9 billion in TVL and 43.4 percent of Terra's TVL, is an open-source platform that allows users to quickly adapt its API to any other platform that displays users' money balances. Additionally, this decentralised protocol functions as a lending or borrowing platform with no deposit requirements or minimums. It is accessible to everyone on Earth.
Lido: This protocol enables users to inject liquidity without locking their staked assets. For the time being, it is the only Terra dApp of this type that is also Ethereum and Solana compatible. Lido currently offers an 8% annual percentage rate on $LUNA deposits. The fact that you can use your staked tokens across all Terra DeFi platforms is one of the platform's secrets to success.
As you can see, Terra protocols empower individuals to exercise complete control over their assets in a secure and efficient manner. In DeFi, granting freedom, profitable, and simple tools to use virtually guarantees results.
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By Crypto PiratesSince January of this year, the DeFi sector has increased by more than 1300 percent, with Terra serving as a critical component.
Nobody would have predicted a month ago that Terra, a relatively unknown blockchain, would end the year with the second-largest LTV in the DeFi sector. This is a 200 percent increase in the value of Terra's native token, $LUNA. However, what precipitated this flight?
Terra currently has 13 DeFi protocols, with a 43 percent increase in the last seven days, according to DeFillama. Terra's TVL, on the other hand, was $ 9.1 billion 30 days ago, a 220 percent increase. This press will explain how this could happen and how you can immediately participate in the most critical Terra DeFi protocols.
A Summary of the Terra Ecosystem
When this press was prepared, Terra had 13 DeFi protocols totalling $20.4 billion in TVL. Additionally, only two protocols, Lido and Mirror, are supported by other blockchains, indicating that this blockchain is still in its infancy and has a long way to go before achieving widespread adoption.
Anchor, on the other hand, has accumulated 43% of Terra's total TVL, increasing its TVL by 39% over the last seven days. To illustrate how strong Terra DeFi protocols are at the moment, let's compare how much TVL each protocol in the first four blockchains has on average. Naturally, these are fictitious figures:
Each protocol costs $0.42 billion. Consider the fact that Ethereum contains 369 DeFi protocols.
$1.57 billion for each protocol on Terra.
Each protocol will cost $0.72 billion. 232 DeFi protocols are supported by BSC.
For each protocol, Solana will receive $0.3 billion. Solana is in possession of 41 Defi protocols.
However, how has Terra absorbed this amount of liquidity in just 13 protocols, gaining traction on well-known blockchains such as BSC (Binance Smart Chain) and Solana?
1. Extremely High Yields of DeFi
We will demonstrate how profitable Terra protocols can be in this article by examining the following:
Anchor: Currently, depositing and borrowing UST tokens earns you 19.4% and 18.88% annual percentage yields, respectively. Consider the following AVEE statistics and make your own comparisons: AVEE (In Matic) offers 3.4 percent and 3.9 percent annual percentage yields on USDC token deposits and borrowing, respectively.
Stader: This Terra platform maximises stake returns by utilising a smart compounding protocol that results in a 25% increase in returns. Stader now has three liquidity pools that offer a 9% annual percentage rate.
2. Highly Valuable Protocols
Terra has 13 extremely valuable protocols that attract a lot of liquidity due to the fact that they are available to anyone in the world without any restrictions and in a secure manner. This is what genuine decentralisation entails. As a result, we'll highlight the two best DeFi platforms that we believe accurately represent Terra:
Anchor, which has $8.9 billion in TVL and 43.4 percent of Terra's TVL, is an open-source platform that allows users to quickly adapt its API to any other platform that displays users' money balances. Additionally, this decentralised protocol functions as a lending or borrowing platform with no deposit requirements or minimums. It is accessible to everyone on Earth.
Lido: This protocol enables users to inject liquidity without locking their staked assets. For the time being, it is the only Terra dApp of this type that is also Ethereum and Solana compatible. Lido currently offers an 8% annual percentage rate on $LUNA deposits. The fact that you can use your staked tokens across all Terra DeFi platforms is one of the platform's secrets to success.
As you can see, Terra protocols empower individuals to exercise complete control over their assets in a secure and efficient manner. In DeFi, granting freedom, profitable, and simple tools to use virtually guarantees results.
Support us!