On August 28, Binance Futures launched the DeFi Composite Index, a DeFi token basket that initially consisted of 27% Chainlink (LINK) and 11% Aave (LEND), along with nine other DeFi tokens that ranged from 6% to 9.5%. index each. The index is updated weekly and now tracks 19 different cryptocurrencies.
However, Binance Futures’ DeFi Index fell more than 50% from a consistent high of $ 1,189 on its first trading day, and the basket is now trading at just $ 507.
Indices tracking decentralized financial tokens (DeFi) have surged in recent weeks after the DeFi bubble hit in August.
On September 15, TokenSet launched the “DeFi Pulse Index Group” (DPI), which consists of tokens from the ten largest decentralized financial protocols by total private value (TVL), according to DeFi Pulse. The curve is rebalanced on the first day of each month, with the size of each symbol adjusted according to the “relative market value at which other positions in the index are traded”.
Despite continued growth in TVL in the DeFi sector, DPI has lost nearly a third of its value since launch, from $ 130 in mid-September to $ 90 test support.
Other cryptocurrency market data aggregators point to DeFi not working: only 16 out of 100 tokens were rated DeFi by more than 1% gain in CoinMarketCap admission over the past seven days.
Observer Messari, who monitors the performance of Ethereum (ETH) -based assets, also notes that the DeFi sector is currently down, resulting in weekly and monthly losses of around 2%.
Despite the significant price increases that generate most DeFi tokens, the sector’s fundamental strength remains. The Defi TVL program is up nearly 40% from $ 7.4 billion in the past 30 days, while Uniswap’s decentralized exchange (DEX) generated over $ 15 billion last month – more than the central digital asset exchange Coinbase in the United States.