The Total Value Locked (TVL) on the Toncoin [TON] blockchain has shown a decrease in recent months. Nevertheless, there has been a noticeable surge in staking activity, indicating a change in investor behavior.
Examining the decrease
Analysis by CryptoCrypto of TON’s TVL from mid-2024 to early 2025 has revealed a significant decline. This decline might suggest a slowdown in network operations or a pullback from decentralized finance (DeFi) platforms.
However, it’s important to note that Liquid Staking remains a substantial part of the TVL. This suggests that even though the overall locked value has dropped, staking is still drawing a significant portion of investments.
This shift from riskier DeFi investments could help decrease the usual volatility associated with DeFi exposure.
If the downward trend in TVL continues, it’s possible that TON’s price will stabilize due to more funds being locked in less volatile staking pursuits.
A rising trend towards secure yield
Further analysis has shown an upward trend in the Staking TVL Ratio, despite the overall TVL decrease. This ratio, representing the share of TVL in Liquid Staking and Staking Pools, has hit new peaks.
The increasing preference for staking indicates that investors are now focusing on earning rewards rather than engaging in riskier DeFi approaches.
This shift could contribute to greater price stability for TON, as the locked tokens coming in reduce the selling pressure.
The growing staking ratio suggests that price fluctuations might become less wild, with potential for price growth as staking rewards accumulate over time.
Is it speculation or stability?
Moreover, an analysis of Netflows indicates a significant spike in aggregate exchange inflows around mid-February 2025, aligning with a price peak.
After this uptick, Netflows settled, suggesting that the initial influx was probably fueled by market speculation or a specific event.
The subsequent stabilization hints that the market may have absorbed this turbulence, hinting at a phase of consolidation for TON’s price.
Following speculative spikes, TON’s price might move into a consolidation stage, laying the foundation for future growth as market sentiment stabilizes.
The influence of active engagement
Lastly, an appraisal of active addresses reveals steady growth, particularly among those addresses holding a balance, from late 2024 into 2025.
This rise in activity aligns with the uptick in staking engagement, indicating that both new and existing users are becoming more involved in the staking ecosystem.
A surge in active addresses typically signifies a robust network, which could drive up demand for TON and strengthen price rises.
The uptick in active addresses, especially with balances, paints a positive picture for TON, hinting at an optimistic trend as network involvement expands.
Despite the recent dip in TON’s TVL, the growing staking participation and increase in active addresses point towards a shift towards stability and expansion.
These patterns indicate that TON is entering a phase where stability driven by staking could underpin long-term value growth.