Cryptocurrencies
Crypto Crash Weighs on DeFi Tokens Already in Downward Spiral
- Tokens haven’t participated in the rebound seen since weekend
- Sector has been in a slump since May while Bitcoin gained
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This weekend’s crypto flash crash helped to bring into focus the recent cooling of decentralized finance, once one of the hottest corners of the digital asset world.
While Bitcoin and other rival coins have mostly steadied or climbed from lows of about 20% seen Saturday, many DeFi tokens tumbled more and have since failed to rebound. The DeFi Pulse Index, which tracks tokens such as Aave, Balancer, Compound, Sushi, Synthetix, Uniswap, Yearn and Badger, dropped as much as 24%.