Why TVL can change without new deposits

TVL is a value at a point in time

Total value locked describes the value of assets counted in a protocol's TVL measurement. It is a stock measure, unlike trading volume, which accumulates activity during a period. A TVL observation tells you about the measured value at that time; it does not describe the total amount traded that day.

The definition and exclusions are important. Different protocol structures can involve receipt tokens, borrowed assets or assets that appear in more than one application. An aggregate must decide how to treat those relationships. Read the source methodology before assuming that all listed values can be added together.

Prices affect dollar-denominated TVL

Consider a simplified protocol that holds 100 units of an asset. If the illustrative price is $10, its value is $1,000. If the price rises to $12 while the balance stays the same, the value becomes $1,200. The increase does not require a new deposit.

The reverse can happen during a price decline. Dollar TVL can fall even when the token balance is unchanged. In a real protocol, deposits, withdrawals, several assets and pricing changes can occur together. A dollar chart alone cannot separate all of those causes.

Do not rename a TVL change as an inflow

A change between two TVL observations is a change in measured value. Calling it a net inflow requires additional evidence that distinguishes token balance movements from price effects and other accounting changes. This dashboard does not infer deposits from a change in the dollar total.

A change in upstream coverage can also alter the displayed value. A new adapter, a corrected token price or a category adjustment may affect a series. If a movement is surprising, check source notes and underlying protocol information before attaching an explanation to the chart.

Compare similar protocol structures

A lending protocol, an exchange and a staking product use deposited capital differently. Their TVL values do not directly measure the same business activity. A large TVL does not by itself show greater trading demand, more users or stronger financial results.

For exchange research, view TVL alongside available volume data, but avoid treating their ratio as a universal score. The useful interpretation depends on matching scope, measurement time and the way the source attributes capital to that exchange.

Keep the observation reproducible

Record the protocol or chain, the value, the source and the displayed update status. When comparing dates, make sure the chart describes the same resource and currency basis. A missing observation should remain missing rather than being replaced with zero and creating a false collapse.

Use the methodology page to identify the measures used by this site. For upstream treatment of borrowed funds and overlapping TVL, consult DefiLlama's definitions. Those counting choices are part of the number, not optional footnotes.