TechFlow, in July there was a significant rally in the classical DeFi blue-chip tokens. According to data from Coingecko, the total market capitalization of DeFi projects rose from $46.3 billion at the end of June to a peak of $51.2 billion, an increase of $4.9 billion.
Gracy Chen, Managing Director at Bitget, said: "The first reason for this round of rotation in the DeFi sector is the hype around RWA narratives. U.S. Treasury yields have surpassed risk-free yields in DeFi. On June 29, Compound founder Robert Leshner announced his move into the RWA space by launching a new company, Superstate, aiming to bring U.S. Treasuries on-chain, which triggered a surge of over 100% in its associated token COMP. Secondly, following XRP's legal victory against the SEC regarding its classification as a security, the fundamentals of classical DeFi blue-chip tokens have significantly improved. The third factor is MakerDAO’s new proposal to implement a smart burn mechanism, along with AAVE officially launching its decentralized stablecoin GHO and Synthetix releasing its V3 upgrade—these product updates collectively sparked strong market enthusiasm."
