- Total DeFi TVL has surged 57% in three months, reaching a 2-year high of $153 billion by July 2025.
- Lending platforms alone hold $55 billion in assets, with Aave and Lido each commanding approximately $33 billion in locked value.
- AI-powered DeFi tools, rising DEX volume, and institutional flows are accelerating structural growth across the decentralized finance space.
The decentralized finance (DeFi) sector has entered a new growth cycle, with the overall value locked (TVL) reaching $153 billion in July 2025—its peak since mid-2022. This represents a 57% gain over just three months, reflecting higher investor demand, better protocols, and growing infrastructure. Among the key propellers of the surge is the integration of AI-enabled liquidity solutions, such as INFINIT, which offers users customized strategy creation through smart, agentic execution.
Source: (X) These intelligent platforms are revolutionizing DeFi from an arduous niche to a more active and easier ecosystem. Meanwhile, institutional investment keeps accelerating, with more than $4.6 billion inflows of capital via Ethereum-based yield schemes.
This new interest is mirroring the resurgence of double-digit lending yields on platforms and shifting trader preference for decentralized exchanges. Taken together, the developments signal that DeFi’s latest growth cycle is not just a rebound, but a structural evolution toward higher efficiency and deeper adoption.
Aave and Lido DAO Anchor Lending and Staking Dominance
Aave and Lido DAO continue to lead the DeFi charge, each locking in roughly $33 billion in assets. These two protocols alone account for a large share of Ethereum’s $78 billion TVL. Aave’s resurgence reflects the strong appeal of algorithmic lending, particularly as interest rates across traditional finance begin to normalize.
Meanwhile, Lido continues to enjoy the persistent interest in liquid staking, conditioned by the proof-of-stake framework of Ethereum. The ability of both protocols to attract double-digit yields once again demonstrates their status as the building blocks of the wider DeFi stack.
BNB and Ethena Solidify Cross-Chain Liquidity Impact
BNB’s DeFi footprint remains strong, underpinned by its ecosystem-wide liquidity channels and low-cost infrastructure. The asset maintains a central role in enabling seamless on-chain access to yield products. Meanwhile, Ethena has emerged as a high-yield protocol generating substantial monthly revenues. Its presence in the latest TVL expansion underscores the growing influence of high-throughput, protocol-native earning platforms. The return of institutional funds has further enhanced credibility, with smart contracts increasingly used to manage scalable yield allocations.
Ether.fi and Infrastructure Growth Power Broader Ecosystem Momentum
Ether.fi, focused on decentralized staking, has played a key role in drawing long-term capital back into Ethereum-based applications. The platform’s model supports a user-aligned yield system that integrates well with new cross-chain infrastructure. The expansion of Layer-2 networks and AI-native tooling like INFINIT is enabling a smoother DeFi experience. These tools are helping reduce friction and introduce modularity into yield strategies, making the entire ecosystem more accessible to both retail and institutional participants.
