Steno Research: DeFi Summer Confirmed

user avatar

by Giorgi Kostiuk

2 years ago

Made with AI

  1. TVL Status and Expectations
  2. Impact of Interest Rates
  3. Factors Driving DeFi Revival


    4. According to a report published today by Steno Research, the decentralized finance (DeFi) sector is poised for a revival, with the total value locked (TVL) in the crypto ecosystem having the potential to reach all-time highs in the first half of 2025.

    TVL Status and Expectations

    Although current TVL levels remain below the 2021 peak, analysts expect a significant revival driven by several key factors.

    Impact of Interest Rates

    The report highlights the impact of US interest rates on the DeFi market, which is largely dollar-centric. “Interest rates are the most critical factor affecting the appeal of DeFi, as they determine whether investors are more inclined to seek higher-risk opportunities in decentralized finance markets,” said Mads Eberhardt, an analyst at Steno Research.

    Interest rates are the most critical factor affecting the appeal of DeFi, as they determine whether investors are more inclined to seek higher-risk opportunities in decentralized finance markets.Mads Eberhardt

    Factors Driving DeFi Revival

    Steno Research draws parallels between the anticipated DeFi revival and the first “DeFi summer” of 2020 after the Federal Reserve lowered interest rates in response to the COVID-19 pandemic. As interest rates fall, the appeal of DeFi increases due to the lower opportunity costs of holding the stablecoins that are necessary for the operation of many DeFi protocols. Beyond interest rates, the report also identifies crypto-specific factors that are driving DeFi’s comeback. Stablecoin supply, which has increased by nearly $40 billion since January 2024, plays a crucial role in the ecosystem. “Stablecoins are the backbone of DeFi protocols,” the report says, emphasizing their importance in the recovery of the sector.

    Stablecoins are the backbone of DeFi protocols.None

    Thus, Steno Research analysts predict that the DeFi sector is set for significant growth in the coming years, especially with falling interest rates and an increase in stablecoin supply.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Justin Sun Prize Launched to Transform Scientific Research

chest

The Justin Sun Prize has been established to redefine scientific rewards in the AI era, offering up to $1 million for breakthroughs in fundamental disciplines and machine formal verification.

user avatarKenji Takahashi

bdautomated Releases Verified AI Agent Statistics for 2026

chest

bdautomated releases a comprehensive dataset on AI agent statistics for 2026, tracing 75 widely quoted figures back to their original sources.

user avatarMaria Fernandez

Korea Blockchain Week 2026 Announces Key Sponsors and Speakers

chest

Korea Blockchain Week 2026 has unveiled its partner lineup, featuring major players in the digital asset industry, including Upbit, 0G, BRV, Stable, Tria, and BitGo. The event will take place in Seoul from September 29 to October 1, 2026, and will host key speakers discussing significant shifts in the digital asset industry.

user avatarGustavo Mendoza

Morgan Stanley's Bitcoin Accumulation Boosts Market Confidence

chest

Morgan Stanley has been actively accumulating Bitcoin through the ETF route, amassing approximately 622 million worth of the cryptocurrency this month.

user avatarRajesh Kumar

Microsoft Opens Public Feedback for AI Code of Conduct

chest

Microsoft is inviting public feedback on its draft Code of Conduct for AI models until late October, aiming to refine guidelines before finalizing them for 2027.

user avatarLuis Flores

Microsoft AI Releases Draft Code of Conduct for AI Models

chest

Microsoft AI has published a draft Code of Conduct outlining the expected behavior and limitations of its AI models, inviting public feedback for six weeks.

user avatarMiguel Rodriguez

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.