Attractive Yields Drive Millions Into DeFi Liquidity Manager Gamma

The protocol's native token has risen to 33 cents from a low of 7 cents this year.

AccessTimeIconApr 17, 2023 at 9:52 a.m. UTC
Updated May 9, 2023 at 4:12 a.m. UTC

The total value locked on decentralized-finance protocol Gamma has doubled in the past month as investors attempt to secure generous staking yields.

Gamma is a semiautomated liquidity manager that allows users to provide liquidity at the most lucrative pools across six different blockchains.

  • NEAR Launches Multichain Access
    NEAR Launches Multichain Access
  • Why Injective's INJ Has Surged 3,000% in 2023
    Why Injective's INJ Has Surged 3,000% in 2023
  • DeFi Market Rebounds to $50B as Speculators Hunt for Yield
    DeFi Market Rebounds to $50B as Speculators Hunt for Yield
  • How Spool Is Aiming to Help Institutions Enter DeFi
    How Spool Is Aiming to Help Institutions Enter DeFi
  • The protocol also features staking of its native token, GAMMA, which is producing a variable yield of 7.04%, according to the Gamma website.

    The token has performed well since the turn of the year, rising to 33 cents from a low of 7 cents. GAMMA has a market cap of $19.3 million and 2% market depth of $38,209, according to CoinGecko.

    Market depth is a measure used to evaluate liquidity. It demonstrates how much capital is required to move an asset by a certain percentage based on the order book.

    The Gamma protocol offers one product that is targeted at individuals and institutions as it offers a passive yield. Another is aimed at Web3 companies and decentralized autonomous organizations, offering consultation and back-tested strategies for treasuries.

    While interest in Gamma has been muted since its 2021 introduction, Defillama data shows that it is one of the fastest-growing yield products this year with total value locked, market cap and fully diluted valuation all surging as the DeFi sector bounces back from a lackluster 2022. CoinDesk Indices' DeFi index has risen 59% to 1,056.49 since Jan. 1.

    Edited by Sheldon Reback.


    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

    Oliver Knight

    Oliver Knight is a CoinDesk reporter based between London and Lisbon. He does not own any crypto.