DeFi protocol revenue has already reached a record monthly high in February
February 24, 2021, 1:31PM EST
1 min read
Decentralized finance (DeFi) protocols have already earned over $20 million more this month than in January, making February the biggest month ever for DeFi revenue generation.
According to data compiled by The Block, in February, DeFi protocols have generated $171.5 million in DeFi revenue — a 14.4% increase compared with January’s $149.9 million. At the time of writing, Uniswap accounted for 43.6% of that revenue, while 20.9% went to SushiSwap and 15.9% to Compound.
The Block Research found that all DeFi protocols except Balancer had record monthly revenues. Most of the revenue went to lenders, liquidity providers, or others on the supply side. The next largest portion went to protocol owners, including developers and others who hold tokens.
Finally, participants in protocol referral programs also received a small slice of the total DeFi revenue. Currently, only a few protocols — including Kyber Network, Aave and the DEX aggregator 1inc — have referral programs. But more protocols are expected to add referral programs in the future
Ethereum had a breakout year in 2021. It’s native asset, ETH’s, market capitalization surpassed $500 billion for the first time. Its network facilitated upwards of $7 trillion value transfer. Non-fungible tokens (NFTs) emerged as another “killer application” that have put its technology on the global stage and caught the attention of the masses.