SushiSwap, Uniswap and Curve Finance See Huge Financial Gains Despite Market Uncertainty
Uniswap saw a huge surge in its collected fees. It hit its highest point since May 2022. Recently, the total trade volume of decentralized exchanges crossed $15 billion. Which is the highest in the last four months.
Due to the crypto market uncertainty caused by the failure of SVB, DEXs saw a huge increase in trading activity. This was primarily because of the fear, uncertainty, and doubt (FUD) created in the market after USDC was depegged.
DeFi Llama reported that DEX trading volume crossed a total of $15 billion. This was a 100% weekly growth.
In the DEX (decentralized exchanges) and CEX (centralized exchanges) markets, DEX rose to around 27% of the whole market.
While the failure of SVB has impacted the centralized cryptocurrency market, it has caused a huge surge in popularity for the DEX market. Due to the recent failures of the centralized system, users are preferring self-custody by using decentralized exchanges.
The stablecoin swapping DEX Curve Finance witnessed its highest-ever 24-hour trading volume of $8 billion on March 11. This is very good news for big DEXs like curve finance, as more users are now preferring decentralized systems over their centralized alternatives. Due to the high trading volume, the fees collected on Curve Finance also hit a record high of $950,000. This is the highest amount of fees collected by the platform in 24 hours during the last 4 months.
Uniswap (UNI), which is the biggest DEX in trading volume, surged to a whopping $3.45 billion in trades in 24 hours. This is the best-performing day for the decentralized exchange in the last 4 months. Transaction charges paid by DEX users surged to $8.75 billion.
SushiSwap also benefitted from the short bull run in the DEX market, but it made headlines for another significant development. It became the most used smart contract by the biggest Ethereum investors during the same 24 hours.
DeFi is the Future
While the centralized financial sector is suffering, DEXs have made huge progress in popularity and market share in the past few years. DEX projects like SushiSwap, Curve Finance, Uniswap, and various others have exploded in popularity.
Around 20 big DEX projects are set to be launched in 2023 as more developers are now interested in the sector. This is great news for the decentralized finance sector around the globe.
The failure of SVB caused concerns regarding the USDC reserve funds stuck in the failed bank. This caused USDC to lose its peg against the US dollar on many exchanges.
After the SVB received a bailout from the US authorities, USDC regained its peg against USD.