DeFi markets surge in 2024 as capital inflows drive growth


News DeFi markets surge in 2024 as capital inflows drive growthAccording to the search results, DeFi markets have seen a significant surge in capital inflows during 2024:

  • Cryptocurrency startup funding surged by 40.3% to $2.4 billion in Q1 2024, while global venture capital investments hit a five-year low. This indicates increased investor interest and capital flowing into the crypto/DeFi space.
  • DeFi has had a 75.1% increase in Total Value Locked (TVL) year-to-date (YTD) to US$94.9B from US$54.2B at the start of 2024, according to Binance Research. This demonstrates significant capital inflows driving growth in DeFi markets.
  • Institutional investors, who were once more cautious, are now rushing into the crypto market with "unprecedented vigor", with capital flows reaching new record levels in 2024.
  • The recent approval of Bitcoin spot ETFs by firms like BlackRock and Fidelity has also acted as a catalyst for increased institutional interest and capital inflows into the broader crypto market.

In summary, the DeFi markets have seen a major surge in 2024 driven by significant capital inflows from both crypto startups and institutional investors, leading to a 75.1% increase in DeFi TVL year-to-date.