Total Value Locked (TVL)

What is Total Locked Value (TVL)?

Total Value Locked (TVL) is the worth of tokens deposited with a DeFi application. TVL generally indicates the value in US dollars circulating in DeFi smart contracts. It includes cryptocurrencies lent and deposited in liquidity pools. TVL is often used to measure the growth of the DeFi ecosystem. However, it has come under a lot of criticism due to miscalculation and misrepresentation.

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