Binance Research, the research arm of the leading cryptocurrency exchange Binance, has published a report titled “The State of the Crypto Market in the Third Quarter: Insights from Binance Research” shedding light on the state of the crypto market in the third quarter of the year. The report provides data on various branches of the crypto market, from Layer 1 and Layer 2 solutions to the DeFi and NFT markets as well as the gaming industry.
A Challenging Quarter for the Crypto Market
Binance Research has released an important report presenting information about the third quarter of the year for the crypto market. According to the report, the third quarter was quite challenging for the crypto market, with a total market value decrease of 8.6% compared to the previous quarter. Additionally, institutional adoption continued to rise throughout the quarter.
The research results show a decline in on-chain activities for Layer 1 and Layer 2 networks during the quarter. However, the activity of Ethereum Layer 2 solutions increased due to the launch of Coinbase’s Layer 2 network, Base.
Latest Figures on the DeFi, NFT, and Gaming Sectors
In a section of the report, Binance Research provides a detailed overview of the decentralized finance (DeFi) and Non-Fungible Token (NFT) markets, summarizing the current state of both markets. According to the report, the total value locked (TVL) in DeFi decreased by 13.1% compared to the previous quarter, reaching $38.5 billion. The reasons behind this decline were attributed to a decrease in DeFi yields, risk aversion, and the drop in the price of Ethereum, the king of altcoins.
On the other hand, the NFT market experienced its lowest performance in nearly three years. The NFT sales volume during the quarter was recorded at $299 million. This is associated with the decrease in base prices of many NFT collections and the drop in the price of ETH.
The report also sheds light on the gaming industry, which is increasingly interacting with the crypto market. According to the report, networks such as BNB Chain, Ethereum, and Polygon continue to lead the sector with approximately 66% market share, based on the number of games built on them.
