DeFi Could Come Back in a Big Way This Summer

by 99Crypto

Decentralized finance has finally moved away from the limelight in the past few months. It had been the hottest part of investments around the beginning of 2021. Growth in other platforms suggests that DeFi might have another run for its money in the near future. Ethereum has had a lot of fluctuations in its fees and processing times. Binance's Smart Chain has had more protocol activity.

Three projects on Binance's Smart Chain that had trading volume increases include Pancake Swap, Venus and Linear Finance. The Venus protocol is a money market based on algorithms. It uses a synthetic stable coin program that offers a lending and borrowing option for DeFi. There was a lot of bull activity on it, and this activity started around April 20. On April 29, another surge occurred. Its timing is linked to an announcement of Venus Reward Token and Venus nonfungible token drops. The announcement about the air drops led to a 70% rally in Venus's price. The total value locked into Venus is nearly $10 billion.

Pancake Swap is an automated market maker similar to Uniswap but based on Binance's Smart Chain. Users can trade tokens and earn some fees by farming. Its price went up by 102% in the past week. It launched V2 farms and had a good token migration during that time. Its total value locked is $9.873 billion.

Linear Finance is a delta-one asset protocol. It allows synthetic asset coins to represent traditional assets, such as a commodity. Those coins can be traded on the exchange. Lina's price has gone up by 70% in the past seven days. On April 27, it had an ask me anything event online. One of its themes has been cross-chain functionality. Lina can operate on Polkadot, Binance's Smart Chain and the Ethereum network, which makes it interesting to a lot of traders. As the investor pool at the retail and institutional levels has increased, the DeFi options on Binance's Smart Chain are in a good position to see more growth. They are in that position because of their low fees and high yield options.