Data Provider DeFiLlama De-emphasizes Double-Counted Crypto Deposits After Saber Revelation
The website “toggled off” double-counting after CoinDesk uncovered one Solana developer’s effort to fool the all-important metric for popularity in DeFi.
Aug 5, 2022 at 6:15 p.m. UTC:format(webp)/cloudfront-us-east-1.images.arcpublishing.com/coindesk/PI4NMW25ZNESZAUQEFVTN7GTWQ.jpg)
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Crypto data website DeFiLlama has changed the way it presents a key decentralized finance (DeFi) metric in response to a recent CoinDesk article.
On Thursday, DeFiLlama switched off its default display of protocols’ double-counted crypto assets, lowering some blockchains’ total value locked (TVL) – an all-important metric of popularity in decentralized finance (DeFi) – by billions of dollars.
The change comes after CoinDesk exposed one developer’s efforts to double count billions of dollars across a web of interlocking DeFi protocols within the Saber ecosystem, pumping up Solana’s TVL during that blockchain’s bull run last year.
Now, DeFiLlama users must manually activate the double-counted value. Blockchain TVLs on DeFiLlama appeared lower by default Friday: Solana's peak TVL from November 2021 displayed $12 billion; before the toggle change, it defaulted to $15 billion.
DeFiLlama “will spend the next few days reviewing all protocols again to check again against double counting,” its pseudonymous developer, 0xngmi, told CoinDesk Thursday in a Twitter message.
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Elizabeth Napolitano was a news reporter at CoinDesk.