A detailed report published by DappRadar analyzed the current state of the cryptocurrency market. It largely concentrated on three areas: Defi, NFT, and cryptocurrency games. Overall, it showed that the fall of Terra did not destroy the overall Defi ecosystems. By measuring NFT’s trading volume by token prices, the volume fell by only 6% from April. Interest in blockchain games remained stable.
Defi is not dead
As reported by DappRadar, Defi was most battered in May. Defi recorded $117 million for the month — 45% below the value reached by the end of April. Tron, among all Defi protocols, was the only one to have a positive value — an increase of 47% on a monthly basis. All other major projects showed declines.
Despite the historic collapse of the Terra ecosystem, the report said the sector is “far from dead.” From a year-on-year perspective, it achieved an 11% increase in terms of TVL. What’s more, the dominant decentralized exchange Uniswap crossed the $1 trillion trade volume limit in the same month.
The volume of NFT transactions fell by 20% on a monthly basis (measured in USD), but this figure would be 6% if it were expressed in native tokens. The report shows that the bear market has not fundamentally shaken people’s beliefs in this sector.
Notably, Solana’s NFT generated $335 million in all markets. This represents an increase of 13% compared to April. Despite the fall in floor prices of projects such as BAYC and MAYC, the sector has not lost momentum. The new protocols continue to attract investors.
When it comes to markets, OpenSea’s dominance has declined with increasing competition from Magic Eden, Atomic, and others. Coinbase’s market, on the other hand, has been deemed a “failed experiment” because it has generated only $2.5 million in volume since its launch in April.