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The Cosmos-powered Osmosis Decentralized Platform has reached TVL $ 1 billion
January 3, the trading volume on DEX amounted to $ 95 million. The price of the native OSMO token has increased by 8.8% over the past 24 hours, according to CoinGecko.
The screenshot above shows that in addition to OSMO and ATOM, the algorithmic stablecoin UST and LUNA (the native token of the Terra ecosystem) are also very popular.
Algorithmic stablecoins: how alternatives to USDT and USDC are evolving
The growth of the TVL ecosystem has apparently been fueled by Osmosis’s integration with the Terra Bridge cross-chain bridge.
1/ As some of you #LUNAtics may have noticed over the holidays, outbound IBC transfers from Terra to @osmosiszone have been added directly to the Terra Bridge UI. https://t.co/iOK7YyrgUZ pic.twitter.com/vmEXlRNjlu
— Terra (UST) 🌍 Powered by LUNA 🌕 (@terra_money) January 3, 2022
The inflow of funds can also be facilitated by the high rates of return on the pools. APR many of them exceed 100%.
In addition, Osmosis offers an innovative approach to staking (“liquid staking”). Users place funds in pools with an OSMO token. However, in addition to rewards for providing liquidity, there is the possibility of earning income from staking.
Let’s assume that the return on funds placed in the ATOM-OSMO pool, as well as on OSMO staking, is 100%. By placing $ 1000 in the pool, the user will receive a daily income of $ 2.7 (at a rate of 0.27%). In addition, he will be credited $ 1.35 per day for the $ 500 invested in OSMO staking. Thus, the total income per day will be $ 4.05.
DeFi 2.0: How Next-Generation Decentralized Protocols Are Evolving
At the time of writing, the Osmosis protocol is ranked 15th on TVL in the DeFi Llama ranking.
As a reminder, Terra’s DeFi ecosystem surpassed Binance Smart Chain in terms of blocked funds in December.
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