Symbiotic, an emerging Ethereum rebase protocol, is aiming to challenge EigenLayer’s dominant position. Within less than 24 hours after increasing the deposit limit, Symbiotic’s Total Value Locked (TVL) has doubled, surpassing $1 billion.
On July 3rd, Symbiotic raised its deposit cap from around 92,000 ETH, incentivizing users to inject 232,028 ETH worth over $700,000 into the protocol through the Liquid Staked Token (LST).
Symbiotic stated on social media that its updated limit of 210,600 Lido Staked Ether (wstETH) was filled within four hours. Their Ethena Staked USDe (sUSDe) pool also reached 50 million tokens.
“After four hours, Symbiotic reached the limit of 210,600 wstETH,” Symbiotic said. “Other assets can still be staked, and the limit will increase over time. As the protocol expands further, more assets will be added.”
Users can still deposit LST worth 50,435 ETH ($158 million) into seven different pools, as well as up to $22.2 million worth of 57 million Ethena (ENA) tokens.
Symbiotic Competes for Market Share
In less than a month since its launch, these activities have propelled Symbiotic’s Total Value Locked to over $1 billion. The surge in TVL has made Symbiotic the second-largest yield farming protocol, surpassing Karak’s $822.7 million TVL.
EigenLayer continues to dominate the industry with assets worth approximately $16.2 billion. However, according to DeFi Llama, EigenLayer’s deposits have decreased by 530,000 ETH ($1.6 billion), a decrease of nearly 10%, since Symbiotic set a new record of 5.42 million ETH six days after its launch on June 17th.
Symbiotic could prove to be an attractive choice for yield farmers searching for planting opportunities. In April, EigenLayer’s highly anticipated first airdrop distribution fell short of users’ expectations.
Symbiotic has also attracted integration from prominent liquid yield token (LRT) providers. On July 3rd, the largest LRT provider, EtherFi, launched the Symbiotic Points Farm Insurance Vault. A week ago, Renzo introduced a Symbiotic-based light rail.
Related: Mellow Finance helps Lido maintain its position as the largest DeFi protocol.