Flow is now home to some of the fastest growing DeFi protocols in Web3.
Flow’s DeFi ecosystem took major strides since the launch of Crescendo in September 2024, driven by new integrations, innovative platforms, and record-setting user activity. Flow expands its reach through cross-chain partnerships and protocol launches, the network is proving to be a powerhouse for next-generation financial applications. We’re seeing robust and dynamic activity in early 2025, with an all time Total Value Locked (TVL) of $49.09M. Let’s explore the key players and milestones shaping Flow’s DeFi ecosystem.
KittyPunch: Stablecoins, Swaps, and Farms Driving Liquidity Growth
KittyPunch has quickly become one of the fastest growing DeFi protocols in all of Web3, reaching a TVL of 15.51M in just a few months. The KittyPunch team has made significant contributions to Flow’s DeFi ecosystem through the launch of StableKitty and its liquidity farming initiatives. StableKitty offers xlow-slippage stablecoin trading, with over $13.4M in stablecoins already swapped and slippage under $5 per transaction. Furthermore, in its first two weeks the StableKitty swap pool alone accrued over $6m in TVL and is currently sitting at 7.7M. KittyPunch's combined offerings of stablecoin efficiency and robust liquidity farming enhance Flow’s stablecoin and farming infrastructure, attracting high-volume transactions and incentivizing ecosystem engagement.
Start swapping, farming, and learning on KittyPunch: kittypunch.xyz
Bridge.flow.com: The Native Flow Bridge
It’s now easier than ever to enter into the Flow ecosystem. Bridge.flow.com serves as the primary gateway for transferring assets to the Flow blockchain, supporting stablecoins and major assets like ETH and BTC. Users can seamlessly bridge USDC from all major EVM chains, PYUSD from Ethereum, and WETH from multiple networks, enhancing Flow’s interoperability and financial accessibility. By simplifying cross-chain operations, Bridge.flow.com empowers users and developers with direct access to essential assets, fostering DeFi growth and expanding Flow’s role in the broader blockchain ecosystem.
Explore the new canonical Bridge for Flow: bridge.flow.com
LayerZero: Enabling Seamless Omnichain Communication
LayerZero’s integration with Flow enables seamless omnichain communication, connecting Flow to over 100 other blockchains. By leveraging LayerZero’s messaging protocol, developers can build interoperable applications that transfer data and assets across chains without relying on intermediaries. This unlocks new possibilities for users to move assets to Flow and engage with advanced on-chain applications, while developers gain the flexibility to create fully composable DeFi experiences.
Stargate Finance: Easy Transfers Across Chains
Stargate Finance, built on LayerZero’s infrastructure, has launched trading pools on Flow for new stablecoins such as stgUSDC (backed by Circle’s USDC) and USDF (backed by PayPal’s pyUSD). These pools enable seamless transfers across multiple blockchains. The Stargate bridge just launched in early February and there has already been over $18.5M USD bridged into FLOW. Stargate ensures that moving coins between Flow and other chains is cheaper, faster, and more accessible, and thus improves access to cross-chain liquidity.
Experiment with cross-chain transfers on Stargate: stargate.finance
Axelar Integration: Cross-Chain Composability at Scale
Axelar has connected Flow to over 70 blockchains through its Interchain Amplifier and Mobius Development Stack (MDS). This integration empowers developers to build dApps that can seamlessly interact with multiple networks, enhancing liquidity, asset transfers, and interoperability across ecosystems. Axelar's integration enables Flow’s financial ecosystem to access broader liquidity pools, facilitating seamless DeFi opportunities without chain limitations. Furthermore, Printr.Money, an Axelar project, has integrated Flow onto its platform. This will empower the meme community on Flow to grow and thrive.
Learn more about Axelar's ecosystem: axelar.network
More Markets: Degen Yield Opportunities Arrive
After months of anticipation, More Protocol has launched its “Degen Market” on Flow, introducing non-custodial asset management and yield optimization tools. This platform enables users to participate in advanced DeFi strategies while leveraging Flow’s scalability and security. By providing sophisticated financial instruments, More Protocol enhances Flow’s DeFi ecosystem, catering to experienced users seeking diverse and efficient yield opportunities.
Check out some Degen Yield Opportunities at More Protocol: More.Markets
Trado: $10M in Swapped Volume
Trado, Flow’s consumer-focused decentralized exchange (DEX), has surpassed $15.7 million in swapped volume this year, solidifying its role as a key player in Flow’s DeFi ecosystem. With a user-friendly interface and deep liquidity pools, Trado is driving increased adoption of decentralized trading on Flow. Its rapid growth, marked by over 43,000 swaps, highlights the rising demand for seamless, on-chain trading while strengthening network activity and ecosystem liquidity.
Start your trading and farming on Trado: trado.one
PyUSD Launches on Flow
Alongside bridge enhancements, Flow has introduced USDF, the first-ever PYUSD-backed stablecoin on the network. Utilizing a dual-locker system with support across Ethereum and Solana, USDF expands stablecoin accessibility within Flow’s ecosystem. Additionally, canonical assets like USDC, WETH, and BTC are now available, providing users with seamless access to essential digital assets. These additions significantly enhance Flow’s interoperability with major financial ecosystems, unlocking new DeFi use cases and strengthening its position in the broader blockchain landscape.
Zapper Integration: Simplifying DeFi on Flow
Zapper, a leading DeFi dashboard, is now live on Flow, allowing users to seamlessly track their assets, manage portfolios, and explore DeFi opportunities from a single, intuitive interface. This integration enhances the accessibility and usability of Flow’s DeFi ecosystem, allowing users to interact with multiple protocols more efficiently while streamlining asset management across the network.
Manage your DeFi portfolio on Zapper: https://zapper.xyz/
Increment Finance: Liquid Staking on Flow
Flow is proud to power innovative projects like Increment Finance, which brings liquid staking and advanced DeFi capabilities to the ecosystem. By allowing users to stake their assets while maintaining liquidity, Increment Finance enhances capital efficiency, strengthens network security, and improves access to staking rewards. This advancement fosters deeper engagement with Flow’s DeFi landscape, encouraging long-term participation and expanding financial opportunities for the community. It’s proven quite popular thus far with 30.9M in swapped volume, over 48,000 total swaps, 16.9M staked Flow, and a TVL of 16.3M.
Learn more about Increment Finance: https://app.increment.fi
Sturdy: Lending Pairs and Aggregators
Sturdy will be deploying lending pairs and aggregators on Flow EVM, enabling users to borrow against assets like FLOW, ankrFLOW, and USDF. Pairs are risk isolated, but unlike most isolated lending protocols, they avoid liquidity fragmentation thanks to Sturdy's aggregators. Flow’s scalability and near-zero gas fees make it the perfect home for sophisticated DeFi strategies.
Learn more about Sturdy: https://sturdy.finance/
Ankr: FLOW Liquid Staking
Ankr has made it possible to stake FLOW seamlessly while earning rewards. Users can enjoy staking rewards and unlock DeFi opportunities with ease and security. By staking your FLOW tokens on Ankr’s platform, you receive ankrFLOW — a liquid staking token that offers more than just traditional staking rewards. With ankrFLOW, your rewards automatically grow every day as the tokens grow in value, and you can unlock additional earning opportunities.Flow maxis have already ridden this wave to a TVL of 8.05M and staked 11.8M Flow on Ankr.
Start Staking: https://www.ankr.com/staking/stake/flow/
Relay: Instant, low-cost bridging + swapping to USDC
Accessibility is very important at flow. As a result an abundance of high quality bridges have been built so degens all over the world can enter the Flow ecosystem. Enter Relay, a cross-chain payments system that enables instant, low-cost bridging and cross-chain execution. It works by connecting users with relayers - financial agents that act on users’ behalfs across chains in exchange for a small fee. Relay is designed to minimize gas costs and execution latency, making it ideal for price-sensitive applications, such as payments, bridging, nft minting and gas abstraction.
Start Bridging Now: https://relay.link/bridge/flow-evm
What’s Next for DeFi on Flow
Flow was designed for high-performance consumer applications, and with recent EVM equivalence upgrades and cross-chain bridges from LayerZero, Axelar, Stargate, and others, builders now have unparalleled access to liquidity and scalability. As Flow continues to build out its DeFi infrastructure, upcoming protocol launches and cross-chain initiatives are set to drive even more growth. Whether you’re a developer, trader, or liquidity provider, now is the time to get involved in Flow’s thriving DeFi ecosystem.
Don’t forget that you can earn boxes for Flow Rewards Season 1 by interacting with our Defi apps. Go here to learn more: https://rewards.flow.com/ Go WTF! 🌊
