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Bitcoin DeFi Demand Sits in Small-but-Deep Pockets as Sector TVL Falls to $70 Billion

5/29/2026

Total value locked across decentralized finance has dropped from roughly $180 billion to $70 billion in under a year, and a Rootstock executive says that contraction has left $BTC DeFi demand concentrated in a limited number of high-capacity participants.

The headline figures reflect a sector that has shed more than half its locked capital across on-chain protocols.

A Retrenchment, Not a Dip The move from $180 billion to $70 billion in less than twelve months is notable for its pace as much as its scale.

DeFi liquidity — the capital that makes on-chain lending, borrowing, and trading possible — has thinned considerably across the sector.

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