Decentralized Finance (DeFi) total value locked (TVL) has fallen every month of 2026. The TVL has dipped 39%, driven by a broad market correction and a run of protocol exploits.

Among the top 10, only two chains grew their TVL in 2026, bucking a downtrend that pulled down every other major network.

What Is Behind the TVL Slide

In its latest report, CryptoRank noted that DeFi TVL dropped from roughly $115 billion in January to about $70 billion. The decline mirrors a broader market reversal.

After hitting an all-time high in October, Bitcoin (BTC) has dropped by more than 50%, with other major assets also recording steep losses. 

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Meanwhile, most leading chains lost ground as capital exited. Ethereum (ETH), which leads the top-10 chains, saw a 43% drop, leaving its DeFi base at $38.91 billion. Arbitrum sank 55%, and Plasma collapsed nearly 75%.

Only two large networks held firm. TRON grew TVL by about 5%, supported by its role in Tether (USDT) settlement and stablecoin lending. Hyperliquid rose roughly 7% on perpetuals trading and its expanding HyperEVM ecosystem.

Crypto Hacks Add Pressure as Q2 Sets a Record

The report added that exploit frequency also affected user confidence. The second quarter produced 85 incidents and about $775 million in losses. 

That makes it the most active quarter in the dataset for exploits. Overall, in 2026, the space experienced 121 hacks resulting in $942 million in losses.

“High-profile incidents involving major protocols reinforced concerns around security and may have accelerated capital outflows from DeFi,” CryptoRank stated.

Two April attacks drove most of the damage. The Drift Protocol breach cost $295 million, and the KelpDAO exploit followed at $293 million. Together, they accounted for more than half of all 2026 losses.

The KelpDAO incident hit lending hardest. Aave’s TVL fell from $26.4 billion to $14.3 billion over a few days, a 46% drop in deposits.

Nonetheless, the report highlighted that the current downturn still looks milder than the previous cycle. DeFi TVL collapsed by more than 70% in seven months, following its late-2021 peak near $177 billion.

A wider spread of capital across stablecoins, real-world assets, and derivatives may have cushioned the sector against sharper falls.

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Источник: BeInCrypto