Cardano Lending Apps Liqwid and Lenfi Surpass Record Levels, Soar by 300%
s top lending apps, Liqwid and Lenfi, have seen incredible growth recently, with their total value locked (TVL) surging by over 300% in the past month. According to data from DefiLlama, Liqwid, the biggest decentralized finance (DeFi) app on Cardano, reached a record $177 million in TVL on November 24, marking a 38% increase in just one week.
The surge in these lending apps can be attributed to the recent price rally of ADA, Cardano’s native cryptocurrency. ADA has been performing exceptionally well, outperforming Bitcoin and reaching its highest level since April 2022. Positive investor sentiment has been further boosted by reports that Cardano founder Charles Hoskinson is engaging with US lawmakers to establish a comprehensive crypto regulatory framework.
ADA’s prominent role on these lending apps has significantly contributed to their growth. For instance, on Liqwid, ADA represents 48% of the total collateral value, followed closely by the native LQ token at 47%. The LQ token has experienced substantial growth, increasing from less than $1 million in September to over $80 million as of November 24.
On November 21, Liqwid experienced record daily inflows, with nearly $14 million worth of crypto assets being deposited on the platform. Additionally, Lenfi, the second-largest lending app on Cardano, has also seen impressive growth, with its TVL soaring from $15 million at the start of November to a record $60 million on November 24. Lenfi successfully migrated all assets to its v2 earlier this year.
The most deposited token on Lenfi is SNEK, Cardano’s largest meme coin by market cap, with a TVL of $36 million. This is followed by ADA with $5.8 million and the native LENFI token with $5.7 million.
Despite previously being associated with low DeFi activity, Cardano’s recent developments are likely to generate increased interest in its decentralized applications. As we continue to see advancements in the ecosystem, it’s crucial to stay informed and engaged with emerging trends in the world of decentralized finance.
