{"id":72283,"date":"2026-05-09T18:47:14","date_gmt":"2026-05-09T18:47:14","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/ethereums-defi-tvl-dominance-drops-to-53-approaching-multi-year-low\/"},"modified":"2026-05-09T18:47:14","modified_gmt":"2026-05-09T18:47:14","slug":"ethereums-defi-tvl-dominance-drops-to-53-approaching-multi-year-low","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/ethereums-defi-tvl-dominance-drops-to-53-approaching-multi-year-low\/","title":{"rendered":"Ethereum&#8217;s DeFi TVL Dominance Drops to 53%, Approaching Multi-Year Low"},"content":{"rendered":"<p><b>(Originally posted on : Bitcoin News )<\/b><br \/>\n<\/p>\n<div>\n<p><span style=\"font-weight:400\"><\/p>\n<div class=\"@container mb-[25px] rounded-sm overflow-clip py-0.5 pr-0.5 pl-2.5 bg-success-100\">\n<div class=\"flex flex-col gap-m overflow-clip rounded-[6px] !bg-success-10 p-3 @[420px]:p-m\">\n<h2 class=\"m-0 flex items-center gap-s text-[19px] !text-[#1c1c1c] md:text-[20px]\"><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"16\" height=\"10\" viewbox=\"0 0 16 10\" fill=\"none\" class=\"shrink-0 text-success-100\" aria-hidden=\"true\"><path d=\"M1 1.5h14\" stroke=\"currentColor\" stroke-width=\"2.5\" stroke-linecap=\"round\"\/><path d=\"M1 8.5h10\" stroke=\"currentColor\" stroke-width=\"2.5\" stroke-linecap=\"round\"\/><\/svg><span>Key Takeaways<\/span><\/h2>\n<ul class=\"m-0 flex list-none flex-col gap-m pl-0\">\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">Ethereum\u2019s DeFi TVL share fell from 63.5% to 53% between January 2025 and May 2026.<\/span><\/li>\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">Defillama data shows Ethereum holds around $45B TVL, with Solana and BNB Chain gaining ground.<\/span><\/li>\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">Layer-2 chains like Base (5.31% TVL share) are reshaping Ethereum\u2019s multichain footprint.<\/span><\/li>\n<\/ul>\n<\/div>\n<\/div>\n<p><\/span><\/p>\n<h2><span style=\"font-weight:400\">Rival Chains Close the Gap<\/span><\/h2>\n<p><span style=\"font-weight:400\">In absolute terms, Ethereum still commands the largest <span>DeFi<\/span> stack on any single chain, with approximately $45.50 billion in TVL. But the share erosion tells a different story as competing <span>blockchains<\/span> have been absorbing capital at a faster rate, diversifying <span>DeFi<\/span>\u2019s <span>liquidity<\/span> footprint across a growing set of networks.<\/span><\/p>\n<p><span style=\"font-weight:400\">According to Defillama\u2019s chain rankings, <span>Solana<\/span> holds 6.76% of total <span>DeFi<\/span> TVL, followed closely by <span>BNB<\/span> Chain at 6.55%, <span>Bitcoin<\/span> at 6.16%, Tron at 6.01%, Base at 5.31%, and Hyperliquid at 1.82%. No single rival comes close to Ethereum in absolute size, but the cumulative shift is significant, with the combined share of non-Ethereum chains now standing at roughly 47% of the global <span>DeFi<\/span> market.<\/span><\/p>\n<figure id=\"attachment_812741\" aria-describedby=\"caption-attachment-812741\" style=\"width:726px\" class=\"wp-caption aligncenter\"><figcaption id=\"caption-attachment-812741\" class=\"wp-caption-text\"> <span>Blockchain<\/span> network <span>DeFi<\/span> market share by %<\/figcaption><\/figure>\n<p><span style=\"font-weight:400\">The drivers behind Ethereum\u2019s share decline are well-established, i.e., lower transaction costs on rival networks, the maturation of Ethereum-aligned layer-2 chains that pull TVL away from mainnet, and the growth of DeFi-native ecosystems on <span>Solana<\/span> and <span>BNB<\/span> Chain in particular. Protocols like Jupiter, Raydium, and Kamino on <span>Solana<\/span>, and Pancakeswap on <a href=\"https:\/\/buy.bitcoin.com\/bnb\/?utm_source=News\" class=\"lar_link lar_link_outgoing\" target=\"_blank\" rel=\"noopener noreferrer\">BNB<\/a> Chain, have attracted billions in <a href=\"http:\/\/www.bitcoin.com\/get-started\/what-is-liquidity\/\" class=\"lar_link lar_link_outgoing\" target=\"_blank\" rel=\"noopener noreferrer\">liquidity<\/a> that might previously have defaulted to Ethereum.<\/span><\/p>\n<p><span style=\"font-weight:400\">The layer-2 factor deserves particular attention, as much of what is built for Ethereum, including Base, Arbitrum, and Optimism, settles to Ethereum but registers as a separate chain in <a href=\"http:\/\/www.bitcoin.com\/get-started\/what-is-defi-decentralized-finance\/\" class=\"lar_link lar_link_outgoing\" target=\"_blank\" rel=\"noopener noreferrer\">DeFi<\/a> analytics dashboards. If layer-2 TVL were consolidated under the Ethereum umbrella, the network\u2019s effective share would be substantially higher. <\/span><\/p>\n<p> <!-- --> <\/p>\n<p><span style=\"font-weight:400\">The timing of this data is notable given that Ethereum has faced sustained narrative pressure heading into mid-2026, with ongoing debates about its fee revenue trajectory, the pace of its development roadmap, and intensifying competition from faster, cheaper chains.<\/span><\/p>\n<p><span style=\"font-weight:400\">The broader multichain direction also appears to be structural, with Jesse Pollak, creator of Base, <a href=\"https:\/\/x.com\/jessepollak\/status\/2052903629867393287\" target=\"_blank\" rel=\"noopener noreferrer\">capturing the prevailing sentiment<\/a> in a post on May 9, stating, \u201cbring every financial instrument onchain.\u201d <\/span><span style=\"font-weight:400\">Whether that unfolds on the Ethereum mainnet, its layer-2 ecosystem, or across rival chains remains the defining question for <a href=\"http:\/\/www.bitcoin.com\/get-started\/what-is-defi-decentralized-finance\/\" class=\"lar_link lar_link_outgoing\" target=\"_blank\" rel=\"noopener noreferrer\">DeFi<\/a>\u2019s next phase of growth.<\/span><\/p>\n<\/div>\n<p><a href=\"https:\/\/news.bitcoin.com\/ethereums-defi-tvl-dominance-drops-to-53-approaching-multi-year-low\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : Bitcoin News ) Key Takeaways Ethereum\u2019s DeFi TVL share fell from 63.5% to 53% between January 2025 and May 2026. Defillama data shows Ethereum holds around $45B TVL, with Solana and BNB Chain gaining ground. Layer-2 chains like Base (5.31% TVL share) are reshaping Ethereum\u2019s multichain footprint. Rival Chains Close the [&hellip;]<\/p>\n","protected":false},"author":3947362404,"featured_media":72284,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[32],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/72283"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/3947362404"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=72283"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/72283\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/72284"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=72283"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=72283"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=72283"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}