Fluid is now at 3rd place in active loans in whole of crypto. @0xfluid Active Loans is one of the biggest indicator of Lending protocol trust and credibility. What it shows ? 1. Revenue Generation (Protocol + Token Holders) Interest payments from active loans are the primary revenue source. Borrowers pay interest → split between: Suppliers/LPs Protocol treasury Insurance fund Higher active loans = higher fee accrual = sustainable tokenomics. 2. Capital Efficiency & TVL Quality TVL alone is misleading. $10B TVL with $1B active loans = 90% idle capital. Active loans / TVL ratio = utilization rate High utilization (70–90%) → efficient use of capital. Low utilization (<30%) → "Ghost TVL" (deposits for airdrops, not real usage). Protocols with high active loans relative to TVL attract sticky liquidity. 3. Network Effects & Composability Active loans enable money legos: Flash loans (built on borrowed capital) Yield farming (borrow to leverage) Delta-neutral strategies (borrow stablecoins vs. ETH) High active loan volume signals deep liquidity, attracting Arbitrageurs DAOs (treasury management) DeFi aggregators (1inch, Paraswap) 4. Governance & Incentive Alignment Misaligned incentives (rewarding deposits only) → inactive loans. Active loans prove product-market fit — users actually need credit. I believe with all the developments behind the scenes , it will be at number 2 in few months. And eventually number 1. $FLUID