With the immense growth in the decentralized finance (DeFi) industry, Aave has led the way for cryptocurrency lending. Aave is currently trading around $330, and it’s the 26th largest cryptocurrency with a market capitalization of over $4 billion.
What is Aave?
Aave is considered the World’s bank by cryptocurrency enthusiasts. The program is built on Ethereum, utilizing the decentralization and security of Ethereum’s blockchain. Anyone who has access to the internet can use Aave as a high yield savings account for their cryptocurrency and stablecoins.
Aave also allows anyone to take out loans without a credit approval. Instead of using credit to insure loans will be paid back, Aave uses cryptocurrency as collateral. If a user defaults on their loan, their crypto will be sold to pay off the loan they received.
There’s currently over $10 billion of total value locked (TVL) on Aave, making it the largest DeFi program with the most value locked. For comparison, Uniswap has $5.5 Billion TVL, yearn.finance (YFI) has $3.2 billion TVL and SushiSwap has
Aave (AAVE) is Up 22% in 24 Hours
While Aave is still down from its all time high of over $600 during the peak of the crypto bull market, the coin has done well over the past few weeks. Just 10 days ago, Aave traded around $180, granting returns of close to 100% for those who bought the dip.
Why is AAVE Moving?
Much of Aave’s upward movement can be attributed to Aave Pro. Aave Pro is a new feature coming out this month for institutional investors which will likely increase Aave’s total value locked even further. Aave Pro will allow institutions to lend, borrow and earn interest on Bitcoin, Ethereum, stablecoins and Aave.
Where to Buy Aave
As a blue chip in the DeFi industry, Aave is a relatively accessible token to invest in. You can buy Aave on prominent U.S based exchanges like Coinbase and Gemini, or you can opt for the world’s largest crypto exchange: Binance.
See more from Benzinga
© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.