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Locked Value

Definition

Locked value refers to the total amount of digital assets currently held within a specific decentralized finance (DeFi) protocol or smart contract. This metric, often expressed as Total Value Locked (TVL), represents the capital committed by users for various purposes, such as lending, staking, or providing liquidity. It serves as a key indicator of a DeFi project’s adoption, utility, and overall economic activity. A higher locked value generally signifies greater user confidence and protocol usage.