DeFi TVL Drops 38% in H1 2026 Amid $43.4B Decline

DeFi TVL fell 38% to drop $43.4B in H1 2026. Six major chains lost $246.5B market cap. Security losses hit record $972M.

Woofun AI data shows that total DeFi locked value decreased by $43.4 billion, a 38% decline, during the first half of 2026. The combined market capitalization of six major public chains dropped by $246.5 billion, representing a 42% reduction. Ethereum spot ETF holdings fell from over 6 million to 5.2 million units, while digital asset management firms increased holdings from 6 million to 7.7 million units. Ethereum gas prices declined 75% year-on-year despite a 50% rise in transaction volume, with full-year on-chain revenue projected to fall 53%.

General-purpose layer-2 user activity dropped 77% from January to June. Solana network revenue decreased from $40 million in January to $14 million in June. Tokenized RWA market cap on BNB Chain grew 107%, positioning it as a primary trading platform for tokenized equity. BNB remained the only major L1 token experiencing deflation. The DeFi sector suffered $972 million in losses from 207 security incidents, a six-month record. Prediction market monthly nominal trading volume is projected to reach $51.6 billion, driven by the World Cup.