What is Defi Llama?
DefiLlama is a DeFi data analytics platform that includes TVL (Total Value Locked) and APY (Annual Percentage Yield) data across all tier blockchains (L1 and L2). In simple terms, DefiLlama is a blockchain data aggregator platform that breaks down crypto data from different crypto projects including decentralized exchanges (DEX), lending platforms, and liquid staking protocols into graphs, charts, and tables to simplify their understanding for developers, investors, and general users. As an open-source public platform, it is committed to using transparent data collection methods.
DeFi Llama aims to make the world of decentralized finance open and transparent. It provides people with easy access to all the crucial information in the DeFi market.
To better understand, let’s elaborate on the terms TVL and APY:
What is Total Value Locked (TVL)?
Total Value Locked refers to the total assets or cryptocurrencies locked in a DeFi project and is expressed in USD, ETH, or project token. The higher the TVL, the more money is deposited into DeFi protocols, which is generally considered a sign of a healthy DeFi ecosystem.
What is Annual Percentage Yield (APY)?
Annual percentage yield refers to the annual return on any cryptocurrency investment. DeFi platforms present the potential returns on their cryptocurrency deposits. This metric helps users compare the profitability of different DeFi protocols.
Main features of DeFi Llama
Here are the main features of DeFi Lllama:
Full data
DeFi Llama collects data on various DeFi projects and provides users with all types of information including trading volumes, token prices, liquidity pools, and the stablecoin market in an organized manner.
User-friendly interface
DeFi Llama features a simplified, smooth, and user-friendly interface that is suitable for both newcomers and experienced DeFi users. Users can scroll through the interface, compare the performance of different crypto projects, and gain insights to make smart decisions.
Historical data
DeFi Llama not only displays current data but also stores all historical data of the included DeFi projects. Users can use this historical data to study trends, gain insights into patterns, and thus make data-driven decisions.
Multi-channel tracking
DeFi Llama tracks DeFi activity across many blockchain networks despite their popularity. Thus, it provides a comprehensive overview of the project’s performance and compares its metrics across different blockchain networks.
Community Engagement
DeFi Llama maintains an engaging environment among users through social media feeds, discussion forums, and governance data. Through these, people actively engage in DeFi Llama and receive updates on different activities.
Comparative analysis
DeFi Llama allows users to compare trends of different projects based on various factors such as fees, TVL, revenue, and active users across different blockchains in the form of charts and graphs for their easy interpretation.
Accurate and real
When it comes to the top DeFi data analytics platforms, DeFi Llama is at the top. It not only displays the latest and most accurate information but also maintains transparency with users by citing all sources of information.
DeFi Llama Use Cases
Here are the use cases of DeFi Llama:
For investors and traders
DeFi Llama presents a 360-degree overview of the total volume locked (TVL) of various DeFi projects and provides insights into current trends. This helps traders and investors identify investment opportunities with growth and support potential.
For newcomers
With a user-friendly dashboard and engaging environment, DeFi Llama provides the ultimate platform for new entrants into the DeFi world. It acts as a guide and allows new users to better understand prominent DeFi projects and their market dynamics.
For analysts and journalists
DeFi Llama’s charts, detailed reports, articles, and insights would be helpful for analysts and journalists who need accurate and recent information. DeFi Llama maintains transparency by referring to all sources of information, which makes the data and information credible and thus gains people’s trust.
For DeFi Project Teams
DeFi project teams can use DeFi Llama to track their crypto project’s performance, growth, popularity, and areas for improvement. They can understand its ups and downs and compare them to other DeFi projects. The team can then analyze the collected analytics to come up with smart future strategies, development goals, and more.
Some new additions in DeFi Llama
So, sites like DeFi Llama present factual, data-driven information rather than biased insights into a single project. As public anticipation for crypto and decentralized finance grows, these platforms have the potential to become the go-to place for investors, traders, and businesses.
Besides DeFi Llama, CoinMarketCap, CoinGecko, DappRader, DeFi Pulse, and EtherScan.io are other DeFi analytics platforms that the public can use to gain insights into decentralized finance market trends and more.
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