Suppose the amount of ETH in a pool stays the same. If the price of ETH rises, the TVL in dollar terms will rise too. The reverse is also true.
So an “increase in value locked” cannot be directly interpreted as “that much new money has come in.” When looking at DeFi data, separate price movements from deposit amounts, and many charts that seem contradictory will make sense.
$ETH
#defi
So an “increase in value locked” cannot be directly interpreted as “that much new money has come in.” When looking at DeFi data, separate price movements from deposit amounts, and many charts that seem contradictory will make sense.
$ETH
#defi
