The demand for DeFi lending has plummeted, as investors are massively deleveraging to cope with market volatility.

PANews April 9 news, according to CoinDesk, affected by the recent big fluctuations in the crypto market, the total lending volume of the DeFi lending platform Aave and Morpho has significantly declined. Data shows that the average lending yield based on USD stablecoins has dropped to 2.8%, a new low for the year, far below the peak of 18% last December. As BTC and ETH prices plummeted to $75,000 and below $1,500 over the weekend, multiple leveraged positions were liquidated, with Aave alone handling over $110 million in liquidations. Market risk sentiment has sharply intensified, leading to a continued decline in lending demand.