The decentralized lending (DeFi) market is experiencing an impressive resurgence, with on-chain lending transactions increasing significantly. This phenomenon, known as the “OnChainLendingSurge,” reflects an increase in user confidence and adoption in DeFi platforms.
The introduction of new protocols and improved lending infrastructures have enabled users to place a wider variety of assets as collateral, including both native crypto assets and real-world assets. This has expanded opportunities for growth and diversification for DeFi investors and users.
In addition, liquidity incentive campaigns, such as COMP in 2020, have played a crucial role in driving the growth of the market. However, sustainability challenges remain, and it is essential that users maintain a cautious and informed approach when investing in DeFi platforms.