Aave on fire, as world’s biggest DeFi lending protocol gains momentum
- 12th July 2021
- Posted by: Hakeem
- Category: Crypto
Defi assets are fast becoming the centre of attraction amid ranging price patterns prevailing at the crypto-verse.
On Binance, the world’s largest crypto exchange, Aave traded at $321.14 with a daily trading volume of $383 million with the crypto asset posting daily gains of about 11.4%
The 27th most valuable crypto by market value is now worth $4.1 billion thus with a circulating supply of 12,836,610 AAVE coins and a maximum supply of 16,000,000 AAVE coins.
The crypto asset is the biggest DeFi lending protocol with over $16 billion in crypto assets locked.
The crypto company is launching Aave Pro, which will support and enable segregated permission pools of ‘whitelisted people that have passed Know Your Customer (KYC) checks. This further removes one of the key obstacles for regulated institutions participating in decentralized finance.
Though the Defi Crypto has lost about half of its value after a meteoric rise over April and May with the price reaching record highs of $650 in mid-May, recent price actions reveal recovery is definitely underway.
Investors will be watching the next resistance level for AAVE that will theoretically be around the $350 mark which if broken, could signify another push up to the $400 price levels.
The crypto asset’s business entity in the United Kingdom has been issued an Electronic Money Institution (EMI) license, permitting its users to move from traditional currencies to stablecoins and other digital assets natively in its Ecosystem and then use these assets in the Aave Protocol.
Aave began as ETHLend in 2017 after it raised $16.2 million in an Initial Coin Offering (ICO) to create a decentralized lending platform.
Quick fact: Defi means “decentralized finance.” By definition, it’s a crypto ecosystem made up of financial apps designed on leading blockchain platforms.
These digital assets are designed on Ethereum codes, and usually exhibit characteristics that include having protocols and financial smart contracts.