As Defi Protocol overtakes Aave as the second-largest lending application, Anchor nips at Aave’s heels

While the native digital asset ANC of the decentralized finance (defi) platform Anchor Protocol has climbed by more than 180 percent in the previous month, the total value locked (TVL) in Anchor has also increased significantly. Anchor Protocol is the second-largest defi lending platform in terms of TVL, and its TVL has climbed by 40.13 percent in the last month.

Protocol’s TVL Rivals Gain More Than 40% in 30 Days, and Anchor TVL Gains More Than 40% in 30 Days The Lead of Aave

In the recent month, the Terra-based token anchor protocol (ANC) has seen a huge growth in value against the US dollar. At the time of writing, 14-day metrics show that ANC has increased by 82.7 percent, while 30-day statistics reveal that ANC has increased by 182.4 percent.

Anchor is a Terra blockchain-based lending protocol that collects liquidity from both lenders and borrowers. Furthermore, lenders who deposit the stablecoin Terra usd (UST) receive a stable income of close to 20% APY.

Anchor uses a liquid-staking device to collect produce. In addition to Anchor’s UST functionality, both Anchor and Orion Money offer Ethanchor, which allows depositors to collect interest on Ethereum-based stablecoins.

According to defillama.com stats, Anchor is now the sixth-largest defi application out of all the defi applications available. The TVL of Anchor has risen 5.55 percent in the last week, but monthly figures show that the protocol’s TVL has increased by 40.13 percent since last month. The growth in Anchor’s TVL to $11.5 billion occurred primarily in the last 30 days.

Anchor is now the second-largest defi lending protocol under Aave, with 124 lending applications. Aave, a lending procedure that has a TVL of roughly $11.6 billion, is just a hair over Anchor.

Protocols like Compound ($6.48B), Justlend ($1.86B), Venus ($1.62B), Banqi ($1.11B), and Iron Bank ($1.06B) are all below Anchor in terms of lending defi applications by TVL.

Borrowers have borrowed $2.46 billion today, according to anchor metrics, and those who are in debt must use bonded LUNA or bonded ETH as security. According to Anchor’s documentation, the defi lending methodology has undergone three audits.

According to some reports, one audit examines Anchor’s smart contracts, while another examines Anchor’s ANC and smart contract distribution. Furthermore, the team at Solidified published an Anchor audit report in July of last year.

Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.

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