Aave and Lido Surpass $70B in Net Deposits, Dominate DeFi TVL

Aave (AAVE) is in the leading position with $34.3 billion, just ahead of Lido Finance’s (LDO)$33.4 billion.

Aave (AAVE) and Lido Finance (LDO) have reached new heights in the decentralized finance (DeFi) sector, surpassing $70 billion in net deposits for the first time ever, according to data from Token Terminal.

Aave leads the pack with $34.3 billion in net deposits, closely followed by Lido Finance with $33.4 billion. Together, the two protocols account for an impressive 75.25% of the $89.52 billion allocated to the top five decentralized applications in December 2024.

Out of the top 20 DeFi applications, Aave and Lido claim a substantial 45.5% of the total funds allocated, amounting to $67.42 billion out of the $148 billion in net deposits across the sector. Lido Finance boasts the highest total value locked at $33.8 billion, while Aave follows with $20.6 billion.

The broader DeFi sector also experienced significant growth, with year-to-date TVL increasing by 107%. At its peak on December 16, TVL reached $212 billion, marking the first time this value crossed the $200 billion mark.

In terms of revenue performance, Aave generated $12.5 million in the last 30 days, indicating a 27.5% growth, while Lido Finance achieved $9.6 million, driven by a platform growth of 24%.

Beyond deposits, the DeFi ecosystem also saw a record in the trading volumes of decentralized exchanges, reaching almost $380 billion in volume throughout November, according to TheBlock.

In fact, the share of trading volume carried out on DEXes as opposed to centralized exchanges reached 13.86% in October, which is the second highest ever recorded, following closely behind the 14.18% seen in May 2023.

Another key aspect of the DeFi landscape is the lending market, which experienced substantial growth with current loans counting up to $21 billion in December, marking the largest monthly figure to date.

Yield farming and staking also play a crucial role in the DeFi ecosystem, contributing to a $200 billion stablecoin market. These tools allow users to earn rewards or borrow using stablecoins, which are further complemented by DEXs and liquidity pools to ensure minimal price slippage even in high-activity marketplaces.

Additionally, stablecoins can traverse into different blockchain networks, enhancing their versatility and ease of usage.