DeFi TVL Shifts Toward Lending, Liquid Staking and Restaking Infrastructure

TLDR: DeFi TVL concentrated in lending and staking protocols versus diversified DEXs and yield platforms in 2021. Aave and Lido Finance lead TVL growth through capital efficiency mechanics and yield layering strategies. Overcollateralization and leverage loops mechanically inflate lending protocol TVL beyond actual capital. Restaking monetizes staked assets for additional yield without requiring capital reallocation [...]

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