Terra Network will have 160 new projects by the end of 2022, TVL exceeds US$22 billion
As demand for DeFi services grows, Terra Network’s Total Value Locked (TVL) surpassed more than $22 billion in early March.
This metric even outperforms popular blockchain networks that support smart contracts like Binance Smart Chain, Fantom, Avalanche, and Solana.
Total TVL | Source: DeFillama
Terra launched on the first day of February 2022 with $13.4 billion in total locked value, beating the most competitive blockchain competitors in the space in March.
Terra continues to attract millions of decentralized finance enthusiasts
Since its launch in 2018, Terra has continuously facilitated user adoption of digital assets as DeFi becomes more attractive. In the first few years of its launch alone, as of March, Terra has over 73 projects in its ecosystem and is constantly implementing DeFi protocols and decentralized applications. One of the apparent achievements of this meticulous effort is that this blockchain’s TVL has grown from $2.5 million in mid-November 2020 to $982.5 million by the end of Q1 2021 – a level of a staggering 39,200% within only 4 months .
Through the fourth quarter of 2021, TVL is up a whopping 248% to end June at an all-time high of $3.42 billion.
Are new projects coming to Terra?
In October, Do Kwon, co-founder of Terra, proposed that around 160 new projects would be launched based on the protocol.
“Currently, Columbus-5 is operational, more than 60 projects are preparing for launch in the next 6 to 8 weeks, and more than 100 projects have recently announced plans for the end of the year or early 2022,” he said in discussions about the Platform perspectives after the successful Columbus-5 network upgrade.
Columbus-5 brought a number of new and updated features to Terra, most notably changing the working mechanism of the original LUNA token.
Nexus Log Promote the development of Terra?
In addition to network expansion, Terra’s growth in 2022 is also partly due to Nexus Protocol (PSI), Spectrum Protocol (SPEC), Stader, Astroport (ASTRO), Lido (LDO) and Anchor (ANC). Stader achieved the highest monthly profit (+150% TVL).
Looking at the chart below, Nexus Protocol’s TVL increased by over 90%, Lido Protocol overtook Aave by over 130% in March, while Anchor also gained over 57%.
TVL Ratings | Source: DeFillama
This exciting project was born on the basis of the announcement of stablecoin UST, which was boosted by a $1 billion Bitcoin reserve.
Unlike other US dollar-backed stablecoins, UST is pegged to USD by minting and burning the native token LUNA. If the price of UST falls below $1, it can be immediately exchanged for LUNA, then minted and sold for $1 – bringing arbitrage profits to investors.
Eventually, as demand for UST increases, the LUNA token will be continuously burned, making it a deflationary and bullish asset.
Regarding the on-chain situation, Do Kwon announced that there are a total of 73 on-chain projects in March, with at least 87 more to be launched by the end of 2022.
Development Activities | source: San base
With the launch events looming, it is likely that Terra’s TVL will continue to climb to all-time highs throughout 2022.
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