DeFi Loans Top $35 Million a Month – Trustnodes

DeFi Loans Top $35 Million a Month


Some $35 million has been lent out by ethereum dapps in the past 30 days from just three dapps according to LoanScan.

MakerDAO’s DAI dominates with about $25 million, but a newcomer, Dharma, has already processed about $5.5 million worth of crypto loans.

Dai remains the most popular asset on Dharma where you can borrow it for 10%, less than MakerDAO’s 14.5%.

To borrow eth on Dharma is a lot cheaper, but only about $350,000 worth of wrapped eth has been lent out for this month.

While those who want to receive interest by lending eth get 2.50%. For Dai, it’s at a considerable 11%.

Compound is seeing more interest beyond eth and dai, but the latter does dominate with some $2.9 million lent this month.

The interest rates here for borrowing both dai and eth seems to be higher than on Dharma, presumably because the latter opened publicly only this month, thus it might have not attracted as much liquidity.

That could potentially allow for loan arbitraging. That’s something new in this specific manner because while you can manually borrow cheaply to lend more expensively, here a bot could automatically do it.

Finally, according to the data by LoanScan, the only other asset that is seeing demand for borrowing is BAT on Compound.

The amounts are small however. Only $123,000 worth of BAT has been lent in the past 30 days at a borrowing interest rate of 6.48%.

Making it a grand total of circa $35 million lent by the people through smart contracts with somewhat complex collateralization algorithms that makes these secured loans.

Compound stats on Curious Giraffe

As can be seen above there has been considerable growth in decentralized finance with defi rising as one of the main use case for dapps for now.

Instead of just holding eth, risk takers, new bankers, and whoever else, play on these dapps and probably have bots running on them with maths now being far less boring as for clever ones it could potentially make them quite a bit of money if they can find and exploit inefficiencies.


Leave a Reply

Your email address will not be published.

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>