{"id":309917,"date":"2023-03-17T11:15:22","date_gmt":"2023-03-17T11:15:22","guid":{"rendered":"https:\/\/cryptoslate.com\/?p=309917"},"modified":"2023-03-17T11:14:11","modified_gmt":"2023-03-17T11:14:11","slug":"u-s-banking-turmoil-halts-nft-hype-as-defi-thrives","status":"publish","type":"post","link":"https:\/\/cryptoslate.com\/u-s-banking-turmoil-halts-nft-hype-as-defi-thrives\/","title":{"rendered":"U.S. Banking turmoil halts NFT hype as DeFi thrives"},"content":{"rendered":"<p>The recent <a href=\"https:\/\/cryptoslate.com\/op-ed-why-the-usdc-potential-depeg-is-not-a-reason-to-panic\/\">collapse<\/a> of the Silicon Valley Bank (SVB) and the USD Coin (<a href=\"https:\/\/cryptoslate.com\/coins\/usd-coin\/\">USDC<\/a>) <a href=\"https:\/\/cryptoslate.com\/usdc-depeg-everything-we-know-so-far-as-contagion-spreads-from-tradfi-banking\/\">de-peg<\/a> halted the hype around Non-Fungible Tokens (NFTs) while benefitted the activity on Decentralized Finance (DeFi), as the recent DappRadar report revealed.<\/p>\n<p>During the weekend of Mar. 11-12, DeFi's transaction volume surpassed $58 billion across all platforms \u2014 while Mar. 11 recorded the lowest number of active NFT traders since November 2021, according to the DappRadar <a href=\"https:\/\/dappradar.com\/blog\/the-evolution-of-the-dapp-industry-in-response-to-americas-banking-turmoil\">report<\/a>.<\/p>\n<h2>DeFi surge<\/h2>\n<p>On Mar. 11, after the SVB crash and the USDC de-peg, the Total Value Locked (TVL) in DeFi fell to $71.61 billion from $79.28 billion \u2014 marking a 9.6% decrease. The transaction count also increased by 23%, to 1.6 million from 1.3 million.<\/p>\n<figure id=\"attachment_309927\" aria-describedby=\"caption-attachment-309927\" style=\"width: 628px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\" wp-image-309927\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2023\/03\/SRL-image-0-5.png\" alt=\"DeFi transactions count (Source: DappRadar)\" width=\"628\" height=\"382\" srcset=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2023\/03\/SRL-image-0-5.png 816w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2023\/03\/SRL-image-0-5-300x182.png 300w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2023\/03\/SRL-image-0-5-768x467.png 768w\" sizes=\"(max-width: 628px) 100vw, 628px\" \/><figcaption id=\"caption-attachment-309927\" class=\"wp-caption-text\">DeFi transactions count (Source: DappRadar)<\/figcaption><\/figure>\n<p>After the SVB's USDC reserves were made available to the public on Mar. 13, the DeFi market also stabilized and led the DeFi TVL to grow to $81.15 billion, marking a 13% spike.<\/p>\n<p>The number of unique active wallets (UAW) interacting between DeFi protocols has also recorded a 13% increase between Mar. 8 to Mar. 11, growing to 477,094 from 421,026.<\/p>\n<h3>DeFi winners<\/h3>\n<p>Among all DeFi protocols, <a href=\"https:\/\/cryptoslate.com\/products\/uniswap\/\">Uniswap<\/a> (<a href=\"https:\/\/cryptoslate.com\/coins\/uniswap\/\">UNI<\/a>) became the one that recorded the most significant increase in the UAW counts \u2014 while <a href=\"https:\/\/cryptoslate.com\/companies\/1inch-network\/\">1inch Network<\/a> (<a href=\"https:\/\/cryptoslate.com\/coins\/1inch\/\">1INCH<\/a>) won on the trading volume front.<\/p>\n<p>Uniswap's UAW increased to 67,000 on Mar. 11 from 54,000 on Mar. 10, marking a 24% increase. Its trading volume also recorded a 96% increase, growing to $14.4 billion on Mar. 11 from $7.34 billion on Mar. 10.<\/p>\n<p>1inch Network, on the other hand, recorded a 304% growth in its trading volume, increasing to $3.46 billion on Mar. 11 from the $855 million recorded on Mar. 10. The UAW count of the exchange also grew to 24,100 from 21,600 in one day \u2014 marking an 11% increase.<\/p>\n<h2>NFTs<\/h2>\n<p>The NFT market has been growing at an impressive rate over the past few months. The NFT sphere maintained its <a href=\"https:\/\/cryptoslate.com\/27-stats-about-nfts-in-2022-who-are-the-big-winners\/\">resilience<\/a> during the <a href=\"https:\/\/cryptoslate.com\/glassnode-report-shows-2022-bear-market-is-the-worst-in-history\/\">coldest<\/a> winter in crypto history and managed to fully <a href=\"https:\/\/cryptoslate.com\/nft-trading-volume-returns-to-pre-luna-crash-levels-in-february-dappradar\/\">return<\/a> to its pre-Luna crash levels in February.<\/p>\n<p>However, the NFT sphere took a hit from the US banking turmoil. The NFT trading volume recorded a 51% decrease since the beginning of March, falling to the current 128,000 from February's 156,000.<\/p>\n<figure id=\"attachment_309937\" aria-describedby=\"caption-attachment-309937\" style=\"width: 626px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\" wp-image-309937\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2023\/03\/SRL-image-0-6.png\" alt=\"NFT trading volume and sales count (Source: DappRadar)\" width=\"626\" height=\"425\" srcset=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2023\/03\/SRL-image-0-6.png 816w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2023\/03\/SRL-image-0-6-300x204.png 300w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2023\/03\/SRL-image-0-6-768x521.png 768w\" sizes=\"(max-width: 626px) 100vw, 626px\" \/><figcaption id=\"caption-attachment-309937\" class=\"wp-caption-text\">NFT trading volume and sales count (Source: DappRadar)<\/figcaption><\/figure>\n<p>The number of active NFT traders was recorded as 12,000, which marks the lowest since November 2021. It also recorded the lowest trade count in a single day of the year, with 33,112 transactions.<\/p>\n<p>Interestingly, the banking turmoil didn't affect the NFT trading volume as much as the trader activity. The report justified this contradiction by stating that\u00a0 Ethereum (<a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\">ETH<\/a>) NFT whales have been continuing to farm on <a href=\"https:\/\/cryptoslate.com\/companies\/blur\/\">Blur<\/a> Season 2.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The recent collapse of the Silicon Valley Bank (SVB) and the USD Coin (USDC) de-peg halted the hype around Non-Fungible Tokens (NFTs) while benefitted the activity on Decentralized Finance (DeFi), as the recent DappRadar report revealed. During the weekend of Mar. 11-12, DeFi&#8217;s transaction volume surpassed $58 billion across all platforms \u2014 while Mar. 11 [&hellip;]<\/p>\n","protected":false},"author":1262,"featured_media":309943,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[120,76747,46940,76232],"tags":[],"prediction_market_topic":[],"post_folder":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v21.9 (Yoast SEO v21.9.1) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>U.S. Banking turmoil halts NFT hype as DeFi thrives<\/title>\n<meta name=\"description\" content=\"During Mar. 11-12, Defi&#039;s transaction volume exceeded $58B, while Mar. 11 recorded least active NFT traders since November 2021.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cryptoslate.com\/u-s-banking-turmoil-halts-nft-hype-as-defi-thrives\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"U.S. Banking turmoil halts NFT hype as DeFi thrives\" \/>\n<meta property=\"og:description\" content=\"During Mar. 11-12, Defi&#039;s transaction volume exceeded $58B, while Mar. 11 recorded least active NFT traders since November 2021.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/cryptoslate.com\/u-s-banking-turmoil-halts-nft-hype-as-defi-thrives\/\" \/>\n<meta property=\"og:site_name\" content=\"CryptoSlate\" \/>\n<meta property=\"article:published_time\" content=\"2023-03-17T11:15:22+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-03-17T11:14:11+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2023\/03\/banking-crisis-defi.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"630\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Zeynep Geylan\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@cryptoslate\" \/>\n<meta name=\"twitter:site\" content=\"@cryptoslate\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Zeynep Geylan\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"NewsArticle\",\"@id\":\"https:\/\/cryptoslate.com\/u-s-banking-turmoil-halts-nft-hype-as-defi-thrives\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/cryptoslate.com\/u-s-banking-turmoil-halts-nft-hype-as-defi-thrives\/\"},\"author\":{\"@type\":\"Person\",\"@id\":\"https:\/\/cryptoslate.com\/author\/zeynep-geylan\/#person\",\"name\":\"Zeynep Geylan\",\"url\":\"https:\/\/cryptoslate.com\/author\/zeynep-geylan\/\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/cryptoslate.com\/author\/zeynep-geylan\/\"},\"image\":{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/cryptoslate.com\/author\/zeynep-geylan\/#authorimage\",\"url\":\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2022\/03\/zeynep-geylan-author-300x300.jpg\",\"contentUrl\":\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2022\/03\/zeynep-geylan-author-300x300.jpg\",\"caption\":\"Zeynep Geylan\"},\"jobTitle\":\"Journalist\",\"description\":\"Zeynep is an academic who turned to crypto in 2018. 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Originating in social sciences, she is especially interested in the social impact of blockchain and cryptocurrencies and strongly believes in their transmuting power. Research and writing are her favorite things in life, followed by dogs and burgers.","url":"https:\/\/cryptoslate.com\/author\/zeynep-geylan\/"}]}},"_links":{"self":[{"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/posts\/309917"}],"collection":[{"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/users\/1262"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/comments?post=309917"}],"version-history":[{"count":3,"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/posts\/309917\/revisions"}],"predecessor-version":[{"id":309958,"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/posts\/309917\/revisions\/309958"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/media\/309943"}],"wp:attachment":[{"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/media?parent=309917"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/categories?post=309917"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/tags?post=309917"},{"taxonomy":"prediction_market_topic","embeddable":true,"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/prediction_market_topic?post=309917"},{"taxonomy":"post_folder","embeddable":true,"href":"https:\/\/cryptoslate.com\/wp-json\/wp\/v2\/post_folder?post=309917"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}