Total Value Locked (TVL)

Total Value Locked (TVL) is a fundamental metric utilized to gauge the combined value of all cryptocurrency assets locked within decentralized finance (DeFi) protocols, which are governed by smart contracts. This metric was first introduced by DeFi Pulse in 2019 as a way to assess the overall health and growth of the DeFi ecosystem. Moreover, TVL can be applied to quantify the amount of assets locked in specific DeFi protocols, such as popular ones like Aave or Uniswap.