The appetite for DeFi is rising again as the blue chips recover and profitable trading platforms like Enso grow.
Enso, a platform where users can share strategies to improve performance, raised $ 5 million on April 13 from major US venture capital firms such as Polychain Capital and Multicoin Capital.
The founder of Synthetix (SNX), Kain Warwick, the founder of Aave, Stani Kulechov, Artia Moghbel, COO of Dfinity, and other prominent angels attended the round.
The high-profile fundraising round comes as Yearn.finance (YFI) hits a new all-time high of over $ 50,000.
Why is the demand for throughput polling protocols increasing?
Protocols like YFI are seeing significant demand again as the DeFi blue chips begin to rise and hit record levels regardless of Bitcoin (BTC) and Ether (ETH).
The appetite for high-risk, high-return games increases significantly as the cryptocurrency market as a whole enters into pricing.
The term pricing refers to a technical trend when the price of an asset or the valuation of a market reaches a new historical high.
From late February to mid-March, the Total Locked Value (TVL) of DeFi asset management protocols dropped significantly from $ 4.3 billion to $ 2.7 billion.
Since the end of March DeFi’s wealth management sector saw renewed momentum, driving demand for protocols like YFI that enable users to get a return on their assets.
Naturally, The resurgence of asset management and return strategies at DeFi resulted in an increase in risk capital rates.
Enso, for example, recently raised $ 5 million from a round led by leading venture capital firms like Polychain Capital Multicoin Capital, whose assets under management (AUM) exceeded $ 1 billion.
Enso enables users to access alpha yield farms, batch yield farms, batch AMM purchases, flash swaps, collateralization and restructuring to maximize revenue through various protocols.
Spencer Applebaum, associate at Multicoin Capital, hailed as one of the best performing funds in the last few months by top fund managers like Three Arrows Capital CEO Su Zhu, particularly highlighted how Enso has enabled users to target various Income strategies to use easily DeFi.
We are very excited to support Connor, Gorazd and the rest of the Enso team in opening up DeFi asset management by removing whitelisting and targeting and enabling the ability to compose with all DeFi networks. Enso is fully customizable and allows anyone to become a fund manager with the push of a button. “Spencer Applebaum, Associate at Multicoin Capital.
The growing interest in yield generation protocols like YFI and yield strategy exchange platforms like Enso shows that there is a great demand for yield farming in the current market landscape.
Has the DeFi summer come?
It remains to be seen whether the increasing demand for platforms and protocols to generate income would usher in the “DeFi summer”.
In addition to the strong technical momentum of the large DeFi tokens, the general sentiment regarding DeFi has been mostly positive lately.
CITI explains @MakerDAO and the benefits of DeFi for fund managers
Maybe that’s why the Boomer DeFi tokens were up + 20% yesterday pic.twitter.com/t7AHnHXo4v
to???? Mira christanto (@asiahodl) April 16, 2021
Citibank released a document on April 16, titled “The Future of Money,” describing the utility of DeFi for other fund managers.
Realizing the momentum and need for DeFi by traditional financial institutions could be the catalyst to enable the second wave of capital inflows into the DeFi market in the coming months.