Ethereum dominates DeFi with the majority of Total Value Locked (TVL), bolstered by its robust ecosystem and developer adoption. Emerging chains like Solana and Polygon challenge it with scalability, but their centralization trade-offs limit broad trust. Ethereum’s Layer 2 solutions (e.g., Arbitrum) counter this by enhancing speed while retaining security. New chains must overcome network effects and liquidity moats to threaten Ethereum’s lead. Its dominance may wobble but is unlikely to collapse soon.