What Is Aave (AAVE)?
Aave is a decentralized finance protocol that allows people to lend and borrow crypto. Lenders earn interest by depositing digital assets into specially created liquidity pools. Borrowers can then use their crypto as collateral to take out a flash loan using this liquidity.
The (which means “ghost” in Finnish) was originally known as ETHLend when it launched in November 2017, but the rebranding to Aave Defi happened in September 2018. (This helps explain why this token’s ticker is so different from its name!) They provides holders with discounted fees on the platform, and it also serves as a governance token — giving owners a say in the future development of the protocol.
Aave Finance Facts
|Defi Coin Name||Aave Finance|
|Chat Option||Click Here To Visit Aave Chat|
|Official Website||Click Here To Visit|
What Makes Aave Unique?
Aave has several unique selling points when compared with competitors in an increasingly crowded market. During the DeFi craze in the summer of 2020, it was one of the biggest projects in terms of the total value of crypto locked in its protocol.
The project allows people to borrow and lend in about 20 cryptocurrencies, meaning that users have a greater amount of choice. One of the flagship products is “flash loans,” which have been billed as the first uncollateralized loan option in the DeFi space. There’s a catch: they must be paid back within the same transaction.
Another big selling point is how those who borrow through Aave can alternate between fixed and variable interest rates. While fixed rates can provide some certainty about costs during times of volatility in the crypto markets, variable rates can come in handy if the borrower thinks that prices will fall in the near future.
What are aTokens?
Aave Defi interest-bearing tokens (aTokens for short) are minted upon deposit and burned when redeemed. The aTokens are pegged 1:1 to the value of the underlying asset that is deposited in protocol. ATokens, such as aDai, can be freely stored, transferred, and traded.
While the underlying asset is loaned out to borrowers, ATokens accrue interest in real time, directly in your wallet! Seriously, you can watch your balance grow every minute.
One to one ratio
ATokens are pegged 1:1 to the value of the underlying asset that is deposited in protocol.
Redirect the interest
The interest earned on aTokens can be redirected at any time to any Ethereum public address.
Earn interest on stablecoins like aDai, aUSDC, and aUSDT.
At, security is top priority and they are constantly auditing and improving Protocol. Funds are stored on a non-custodial smart contract on the Ethereum blockchain. You control your wallet. Regulated and auditable by code. You can read our updates on the blog.
The Defi has an ongoing Bug Bounty program where community members can report any bugs or vulnerabilities they discover for a reward of up to $250,000 for critical bugs. Find more information on the bounty criteria and application process on the Bug Bounty page.
To ensure top notch security, Aave Protocol has had audits by Trail of Bits, Open Zeppelin, Consensys Diligence, Certik, Peckshield and Certora. All audits are publicly available, and you can find them below.
How Is the Aave Network Secured?
Where Can You Buy (AAVE)?
Some of the biggest exchanges that list tokens include CoinDCX, Binance, CoinBene and OKEx. You can find out more about how to convert fiat into crypto here.