DeFi
Symbiotic’s TVL Triples to $1 Billion Within 24 Hours of Raising Deposit Limits
Symbiotic has become the second largest re-staking protocol in just one month of its launch.
The TVL of Symbiotic, the new Ethereum re-staking protocol seeking to challenge EigenLayer’s dominance, has tripled in less than 24 hours to over $1 billion after increasing its deposit limit.
On July 3, Symbiotic increased its deposit cap by approximately 92,000 ETH, prompting users to accumulate 232,028 ETH Liquid Staking Tokens (LST) worth over $700,000 into the protocol.
On social media, Symbiotic noted that its updated limit of 210,600 Lido Staked Ether (wstETH) was filled in four hours. Its Ethena Staked USDe (sUSDe) pool is also full at 50 million tokens.
“After four hours, Symbiotic’s cap of 210,600 wstETH has been reached,” Symbiotic said“More assets can still be staked, and caps will increase over time. More assets will be added as we continue the initial scaling of the protocol.”
Users can still deposit 50,435 ETH ($158 million) of LST into seven different pools and up to 57 million Ethena (ENA) tokens worth $22.2 million.
Symbiotic fights to gain market share
The flurry of activity pushed Symbiotic’s total value locked (TVL) above $1 billion less than a month after its launch. The spike in TVL firmly established Symbiotic as the second-largest re-staking protocol, edging out Karak$822.7 million TVL.
EigenLayer continues to dominate the sector with approximately $16.2 billion in assets. However, EigenLayer currently houses 4.89 million ETH after deposits dropped by 530,000 ETH ($1.6 billion) by nearly 10% since reaching an all-time high of 5.42 million ETH on June 17, six days after Symbiotic launched, according to DeFi Llama.
Symbiosis may be an interesting option for parachuted farmers looking for points to farm. In April, EigenLayer’s long-awaited airdrop allocations failed to reach the expectations users.
Symbiotic is also attracting integrations from leading liquid restaking token (LRT) providers. On July 3, EtherFi, the largest LRT provider, spear a safe for farming Symbiotic points. The move took place a week after Renzo spear a LRT based on symbiosis.
Related: Mellow Finance to Help Lido Maintain Its Position as Largest DeFi Protocol