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As of May 7, 2026, Ethereum’s share of the total value locked (TVL) in decentralized finance (DeFi) has declined from 63.5% at the beginning of 2025 to approximately 54%, reaching a level that has not been seen since mid-2025.
According to DefiLlama, Ethereum currently commands a TVL of $45.4 billion. Other chains have carved out unique niches within the DeFi landscape, specializing in areas such as decentralized exchange (DEX) flow, stablecoin settlements, Bitcoin collateralization, consumer onboarding, and perpetual trading.
The current distribution of DeFi TVL shows that Solana holds 6.66%, BNB Chain claims 6.60%, Bitcoin occupies 6.35%, Tron has 6.17%, Base represents 5.44%, and Hyperliquid accounts for 1.81%. This shift indicates that DeFi has transitioned from being solely Ethereum-centric to a network comprising specialized chains.
Which Chains Are Capturing Market Share?
The BNB Smart Chain (BSC) has solidified its position in DeFi through its association with Binance. In Q2 2025, PancakeSwap saw its volume skyrocket by 539.2% quarter-over-quarter, totaling approximately $392.6 billion—making up 45% of the volume among the top 10 DEXs. Binance has augmented this integration through Alpha Earn, enabling users to provide liquidity directly from their Binance Wallets to PancakeSwap V3.
Current data from DefiLlama illustrates BSC with a TVL of $5.55 billion and a 24-hour DEX volume of $739.6 million. Binance controls the user interface while PancakeSwap handles the trading, allowing BSC to benefit significantly from the generated volume.
On a different front, Tron has carved out a niche as a stablecoin settlement rail. DefiLlama indicates that there is approximately $89.6 billion in stablecoins on Tron, with USDT making up a staggering 97.86% of that total. However, its DEX volume is relatively low at $55.5 million, which reflects its role more as a dollar settlement rail rather than a diverse app ecosystem.
Bitcoin, usually not associated with DeFi, has nevertheless accrued a TVL of $5.34 billion and has increased its share by 13.4% over the last month, despite a very low DEX volume of just $338,516. The Bitcoin DeFi narrative centers around capital migration to Bitcoin for yield generation and collateralization purposes.
Base, a layer-2 solution built on Ethereum’s OP Stack and developed by Coinbase, poses a significant challenge to Ethereum’s market leadership. Operating in over 140 countries, Base shows a $4.58 billion TVL and $4.93 billion in stablecoin liquidity, alongside a robust DEX volume of $854.97 million.
Hyperliquid represents a new paradigm in DeFi, focusing on execution quality. With a current TVL of $1.52 billion, it boasts an impressive 24-hour perpetual volume of $9.37 billion. Its model suggests that perpetual contracts have become critical to the DeFi liquidity landscape.
Solana operates outside the traditional competitive paradigm, displaying the highest trading volume among chains at $15.26 billion in 24-hour chain trading. Its versatility allows it to accommodate various trading activities, making it a major player in the expansive DeFi ecosystem.
| Chain | Main Role in DeFi | TVL | Key Activity Metric | Reason for Growth |
|---|---|---|---|---|
| BNB Smart Chain | Binance-Linked DEX Flow | $5.55B | $739.6M 24h DEX Volume | Binance Distribution, PancakeSwap Routing |
| Tron | Stablecoin Settlement Rail | $5.19B | $89.6B Stablecoins, 97.86% USDT Share | Dollar Transfers, Thin App Diversity |
| Bitcoin | BTC Collateral / BTCFi | $5.34B | $338,516 24h DEX Volume | Productive BTC, Collateral Utility |
| Base | Coinbase-Linked Ethereum L2 | $4.58B | $854.97M 24h DEX Volume, $4.93B Stablecoins | Consumer Onboarding, Coinbase Distribution |
| Hyperliquid | Perpetuals Venue | $1.52B | $9.37B 24h Perps Volume, $8.94B OI | Execution Quality, Purpose-Built Market |
| Solana | General-Purpose Trading Venue | 6.66% Share | $15.26B 24h Chain Trading Volume | High-Throughput, Broad App Mix |
What Ethereum Still Controls
Despite the decline in its market share, Ethereum’s position in the DeFi ecosystem remains robust. It currently has a TVL of $45.4 billion, $165.5 billion in stablecoins, and daily DEX and perpetual volume of $1.45 billion and $1.61 billion, respectively.
Ethereum hosts foundational lending protocols and the deepest stablecoin liquidity pools, vital for most DeFi infrastructure. Analyzing the 30-day TVL data shows a growth of 13.9% for Ethereum and similar growth rates for both Bitcoin and Base.
It’s crucial to consider that TVL alone does not provide a complete picture; other metrics like stablecoin supply and transaction volumes also play essential roles in gauging DeFi activity.
Two Paths for Ethereum’s Market Share
The potential for Ethereum to recover its TVL share to between 55% and 58% by the end of 2026 is contingent on the expansion of stablecoin and lending-heavy activities, along with the strength of the Base layer. Alternatively, if Binance deepens its Alpha integration and other platforms continue to draw users away, Ethereum could see its share decline to between 46% and 50%.
Ultimately, Ethereum’s substantial TVL and its entrenched position as a core component of the DeFi ecosystem make it highly resilient. However, the challenge remains: maintaining its status as a primary settlement layer while competing against specialized chains with promising growth trajectories.
