From May 7–9, 2025, DeFi protocols on BNB, Solana, and Tron recorded significant TVL increases, while Ethereum's dominance declined. This shift signifies growing preference for low-fee, fast transaction platforms, impacting investment strategies.
BNB, Solana, and Tron Lead TVL Increase
BNB, Solana, and Tron chains recorded a 5% increase in TVL to $95 billion. Meanwhile, Ethereum and Arbitrum saw declines. Tetranode, a known DeFi proponent, remarked, "The total value locked (TVL) for this DeFi protocol has shown continuous upward movement throughout 2025, aligning with broader bullish indicators."
Discussions among experts highlight these blockchains as well-positioned for further growth.
Ethereum Faces Challenges Amid Network Changes
TVL changes prompted community debate over network efficiency and fee structure. Analysts identify BNB Chain, Solana, and Tron as well-positioned for further growth. The crypto market reflects broader challenges of adoption for Ethereum. This shift underscores evolving investor strategies prioritizing cost-effective and rapid networks.
Similar Trends of the Past Echo in Current Cycles
Past DeFi cycles, such as the 2021 alt L1 surge, exhibit similar patterns of capital rotation. Current trends echo previous market dynamics favoring innovative protocols. As regulatory frameworks evolve, projections suggest continued institutional engagement and diversified DeFi adoption, powered by transparent and stable regulatory environments.
The key market changes in DeFi indicate a growing interest in alternative blockchains with low fees, while Ethereum faces new challenges. Trends observed in the past continue to influence modern investment strategies.
