PENDLE’s recent surge has made it the largest yield platform in the decentralized finance (DeFi) space.
The token price and total value locked (TVL) of Pendle (PENDLE), a yield trading platform, have both experienced significant growth. In the past 7 days, PENDLE has grown over 33% and is currently trading at $5.69. This price increase is accompanied by a trading volume of $3.3 billion, indicating strong investor interest and market activity.
Users seem to have responded positively to Pendle’s fundamental concept of dividing yield assets into tradable yields and base assets. The platform has a total trading volume of over $10 billion and a TVL of over $4 billion. Notably, on April 2nd, the daily trading volume reached a surprising $400 million.
According to data from DeFi Llama, Pendle Finance has seen growth of over 1500% since the beginning of the year, increasing from a mere $233 million to $3.97 billion on Thursday. As a result, Pendle is currently the largest DeFi yield mechanism in the cryptocurrency market.
What caused this surge? Pendle has benefited from the current boom in Ethereum’s yield re-staking. The platform has observed significant concentration of trading activity in Liquid Restaking Tokens, which are associated with Ethereum and its yields. The influx of funds from various platforms has led to a sharp increase in the TVL on Pendle. For example, Pendle’s weETH (wrapped Ether from EtherFi) asset has grown by 13% in the past week, reaching $920 million. Another Liquid Restaking program, Renzo, has also shown a similar pattern.
Trading activity related to the synthetic dollar process Ethena has also been very active. With Ethena launching its yield pool on Pendle, the stablecoin USDe has increased the platform’s TVL by over $500 million. Pendle’s CEO TN emphasized the company’s commitment to providing user-centered services and products, while acknowledging the benefits of Ethena’s expansion and recent surge in re-verification activity.
Although the majority of trading activity is concentrated on the Ethereum network, Pendle’s popularity on Layer 2 solutions such as Arbitrum and Mantle is also growing. In addition, the community is excited about the possibility of deployment on Solana, which was initially disclosed by DeFi investors.
Due to the recent surge, Pendle has reached new all-time highs in many important metrics. Its market capitalization is currently $1.36 billion, firmly establishing itself as the 82nd most valuable cryptocurrency. This notable ranking reflects the growing market confidence and investment interest in Pendle. The circulating supply of PENDLE coins is 238 million, and the recent price increase indicates optimism in the market for PENDLE’s prospects and upcoming projects.
Despite the surge in activity, Pendle’s price has not reached its peak. Its total locked value exceeds its market capitalization of $5.17 billion. While the Restaking protocol may offer significant profit potential, cryptocurrency analysts have expressed concerns about the risks of the Restaking protocol and potential dangers of over-reliance on Liquid Restaking.
Tags: DeFi, ETHE, Ethena, Liquid, Taki, Pendle, Ethereum