Global DeFi TVL Falls $73 Billion After October Liquidation Event

The decentralized finance market has seen a sharp $73 billion decline in total value locked since the mass liquidation on October 10.

Summary

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Terms & Concepts
  • Total Value Locked (TVL): The total value of assets deposited in decentralized finance (DeFi) protocols, used as a measure of market size and activity.
  • Liquidation Event: A process where assets are automatically sold to cover losses when collateral value drops below required thresholds in leveraged or margin trading.
  • DeFi: Short for decentralized finance, a blockchain-based financial system allowing peer-to-peer transactions without traditional intermediaries.