DeFi TVL remains 'robust' despite market downturn, analysis finds

Despite the broader crypto market downturn, the total value locked (TVL) in decentralized finance has only decreased by 12% over the past week, CoinDesk reported. The decline is attributed more to the falling value of underlying assets than to users withdrawing funds. During the market decline, the amount of staked Ethereum (ETH) increased by 1.6 million, and on-chain liquidation risks have remained low compared to past periods. The outlet noted that the DeFi sector's current resilience contrasts sharply with the situation during the 2022 Terra-LUNA crisis. It suggested that demand for yield opportunities continues to flow into DeFi amid macroeconomic uncertainty and volatility, predicting that the market will see a faster recovery once policy uncertainties are resolved in the second half of the year.