What does this mean for blue-chip DeFi
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What does this mean for blue-chip DeFi

While the sentiment in the cryptocurrency market seems to have waned, the adoption of DeFi is supporting exponential growth. The DeFi ecosystem is showing no signs of weakening as it recently hit a new milestone: on July 13, the total number of unique addresses finally hit the 3 million mark.

Recent data stressed that the total number of unique addresses interacting with DeFi has finally reached the 3 million mark. Crypto enthusiast Richard Chen compiled the data on a dashboard, tracing a set of Ethereum’s own protocols to establish the total number of unique wallets interacting with the ecosystem.

The control panel also ranked Uniswap, Compound, Aave, Curve, and Balancer as the most popular user coins.

Source: Dune Analytics.

One of the best Ethereum decentralized finance protocols, Uniswap has become the most popular DeFi platform with over 2.3 million unique addresses according to the data. The second place was taken by the decentralized money market Compound, which has managed to collect 325,000 addresses since its launch.

Earlier this month, another report highlighted a possible “DeFi comeback season”, highlighting that some of the largest DeFi tokens have registered a sharp increase in unique address activity.

Surge in Demand for DeFi?

The growing number of unique addresses in DeFi protocols really means a new wave of demand for DeFi. While it would have been a bit impatient to reach the same conclusion earlier in the month, the steady rise in targeted activity half a month later is indicative of growing network confidence and a possible increase in demand for Defi’s blue chips.

However, it is interesting to note that while some of DeFi’s top assets such as Uniswap and Compound are showing rising prices and high social dominance, they lag behind in terms of development activity and online trust or adoption.

For example, Uniswap and Compound charts compared their social dominance and price to development activity and showed that the latter tested its early May and June levels for assets.

Source: Sanbase

Source: Sanbase

It is also important to note that while reaching the 3 million unique address mark is a significant achievement, many users use multiple addresses, resulting in a slightly lower real number of unique users than the number of active addresses.

This, however, cannot overshadow the fact that DeFi continues to post exponential gains amid stronger bearish sentiment in the market. Many DeFi assets such as Uniswap, Synthetix and Compound have skyrocketed in value following continuous ecosystem-focused updates, new product launches and wider market adoption. This was an important factor in pumping space and left many hopes for a possible DeFi summer.

Hope for a possible DeFi summer is high!

Research analyst Mason Nystrom quickly pointed to the exponential growth of DeFi, noting that it took unique addresses just 78 days to jump from 2 million to 3 million. In addition, a survey conducted by an analyst showed that 53% of respondents believe that the 4 million mark will be reached in the next 1-2 months.

Source: Twitter Mason Nystrom.

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