Cardano’s DeFi project has seen the total value locked (TVL) more than double since the start of 2023. The rise in Cardano’s DeFI TVL, which grew from $49 million to over $100 million, can be partly attributed to the increase in the price of its native coin ADA, which surged from $0.25 to $0.40 during the period, media reports said.
The Defi protocol with the highest TVL on Cardano is a decentralized exchange (DEX) Minswap, which has $34.3 million in TVL on the network. Rival DEX WingRiders has the second-largest TVL of $16.3 million and collateralized debt protocol Indigo has the third-largest TVL of $15.9 million.
The increase in TVL coincides with Cardano crossing the milestone of 5,000 smart contracts deployed on its network.
Cardano’s stablecoin Djed (DJED) went live on the mainnet on January 31. The overcollateralized stablecoin project has been jointly developed by COTI, a layer-1 blockchain network, and Input-Output Global (IOG), the company behind Cardano. DJED has been designed to work with 400% to 800% over-collateralized on-chain proof-of-reserves.
The entry of Cardano’s stablecoin DJED is expected to boost De, Payments, and other ecosystem activities on the network.
DJED which is currently available on decentralized exchanges such as MinSwap, MuslieSwap, and Wingriders will be soon available on other Cardano ecosystem platforms. Backed by Cardano’s native coin ADA, DJED is pegged to USD. The stablecoin is also backed by the Cardano network’s reserve coin SHEN, which has been specifically designed to provide an algorithmic peg to DJED.
