Well.... Q1 this year was definitely a rough one, we can all agree on that. But it turns out that between the MASSIVE hacks on Drift and LayerZero, and crypto prices going down, onchain lending got absolutely hammered :/ Sucks because the huge DeFi hacks and falling prices made ppl panic withdraw billions.
What caught my eye from the report tho was that Maple Finance increased their lending volumes during this period and so did Nexo. Maple Finance grew its loan book, which was driven by institutional credit partnerships, including popular financing facilities. Nexo also expanded its lending volume during the market correction - through offering actual advantages like low cost rates, the Nexo Card with its benefits like the dual mode, cashback and great earning opportunity, etc. These are the things that actually give people reasons to stay imo
Also, this data proves that pure automation is not a replacement for real risk management... usually when volatility hits and smart contracts start getting exploited, ppl stop caring about the decentralization theater and go where their assets are actually safe and useful.