Zach Anderson
June 4, 2025 14:02
According to a Q1 2025 report by Galaxy Research, the main trend of encryption leverage, which emphasizes the shift in CEFI’s shift and loan, financial strategy and futures market, has been revealed.
The environment of encryption leverage continues to experience big changes as emphasized by the comprehensive report of Galaxy Research in the first quarter of 2025, which publishes the development of centralized finance (CEEFI) and distributed defi sectors.
Major development of encryption loans
At the end of 2025, the cryptocurrency loan market was 4.88%, which reached $ 39 billion in public borrowings. The CEFI site experienced a noticeable increase of $ 11.4 billion (+9.24%) in the borrowing, while the Defi applications declined by $ 4.7 billion (-21.14%). Interestingly, Stablecoins’ encryption data components increased $ 1.6 billion (+25.56%).
This report emphasizes that the decline in Onchain Stablecoin borrowings decreases from 11.59%at the beginning of the year to 5%at the end of May. This 56.86% decrease is due to a decrease in asset prices, decreasing on -chain activities, and updating interest rate variables on loan platforms.
Bitcoin financial strategy
The publicly traded Bitcoin Treasury Company amplified the strategy by adding $ 2.1 billion debt to acquire BTC by early 2025. In particular, companies such as the Semler Scientific and Strategy issued a significant debt trench to support the acquisition of Bitcoin, reflecting the continuous dependence on the debt fuel strategy for the Crypto Asset Accumulation.
Despite concerns about sustainability, this strategy continues to attract attention. The strategy alone has a $ 82.8 billion debt to strengthen the Bitcoin reserves.
Futures market and institutional interests
The futures market also saw significant growth of $ 11.7 billion in interest on major places as of the end of May. Bitcoin Futures public interests have seen slight reductions, but Ethereum and Solana Futures experience notable growth, indicating diversification of interest in various password assets.
Hyperliquid, a rapid growth place for permanent futures trading, has emerged as an important player with a 10.73%market share. This growth reflects the potential changes of market epidemiology, and the ring is challenged to established leaders such as Binance.
conclusion
Galaxy Research’s report suggests a more subtle and diversified leverage environment in 2025. The interaction between CEFI and Defi represents an evolving financial strategy and futures market dynamics, with a cryptocurrency economy that adapts to new trends and faces unique challenges. As the institutional interest grows and the new platform gains traction, the encryption leverage environment is ready for further changes.
To get more insights, you can access the entire report from galaxy.com.
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