Launched in November 2020 on the BNB Chain, Venus Protocol has become one of the major players in decentralized finance, providing users with lending, borrowing, and synthetic asset creation capabilities.
What is Venus Protocol?
Venus Protocol is a sophisticated lending and borrowing platform bringing traditional finance to DeFi ecosystems. Users can supply cryptocurrencies to earn interest or borrow against collateral, with the VAI synthetic stablecoin maintaining a 1:1 USD peg through algorithmic mechanisms.
Financial Statistics and Market Performance
According to the January 2025 performance report from Venus Protocol, the platform achieved tremendous growth in 2024. Total Value Locked (TVL) reached $1.9 billion, making it the sixth largest among lending protocols. Net deposits grew by 58.3% over the year, and fee generation increased by 106%, reaching $105.2 million.
Incentive Program and Plans for 2025
Venus Protocol introduced the Venus Prime program within its Venus Tokenomics v3.1. This program is self-sustaining, focusing on major markets such as USDT, USDC, BTC, and ETH. Users participating in this program can significantly increase APY, enhancing both protocol engagement and user benefits.
Analyzing the journey of Venus Protocol from its inception in 2020 to its current status as a leader in DeFi lending highlights its position. With advanced risk management methods, strategic expansion, and innovation, Venus Protocol is poised for continued success.
