2021 was a big year for the entire crypto community, but as the new year sets in, many crypto projects have swung into action and have started the year on a high note. Aave protocol has wasted no time in announcing its latest growth plan.
Stani Kulechov, the creator of the DeFi landing project, shared a tweet where he announced that his team is developing a mobile wallet. Responding to questions from users, Kulechov further clarified that Aave has the license to establish electronic money in the UK.
Aave protocol has hinted severally on its plans to upgrade its platform and roll out new features. Already, Aave ranks one of the leaders in landing projects in TVL ($ 14.39 billion). Besides Ethereum, the DeFi project supports Avalanche and Polygon networks.
To grow its market size, Aave will also switch to Curve Finance and SushiSwap. This move might enhance Aave’s user base while also increasing on-chain activity.
A cross-chain governance bridge was also launched by the protocol team. The protocol can now be managed across various networks by the mainnet administrator. Furthermore, the AAVE community is working to provide gas-free voting and holistic governance for network users. Overall, AAVE appears to be making progress toward its objectives for the first quarter of the year, particularly in terms of ecosystem-oriented activities.
Aave’s 2021 was explosive
While large-cap cryptocurrencies had a banner year, the altcoin market saw some of the most significant gains and developments, with decentralized finance (DeFi) and non-fungible tokens (NFTs) rallying by thousands of percent and helping to usher in a new level of awareness and adoption for blockchain technology and cryptocurrencies.
Aave is a decentralized lending service that allows users to deposit their tokens and either lease them out for a profit or offer them collateral to obtain some other asset.
Even as the DeFi industry grew in popularity in early 2021, AAVE became a public preference due to the large range of crypto assets it supported and the support of several well-funded individuals.
With the release of AAVE v2, which added support for Polygon, a layer-two scaling solution, and Avalanche (AVAX), a prominent cross-chain blockchain network, AAVE increased its capabilities and reach during the year. The overall liquidity accessible on the AAVE protocol has topped $25.7 billion as a result of these new features, making it the top-ranked DeFi protocol by total value locked (TVL).
About Aave Protocol
Aave is a decentralized lending platform that allows users to lend, borrow, and collect interest on crypto assets without the use of intermediaries.
Furthermore, Aave is a smart contract solution that allows these assets to be handled by a distributed network of computers running its software. It runs on the Ethereum blockchain, which implies that Aave users do not have to entrust their funds to a specific institution or person. They merely have to trust that the code will run as intended.
The Aave software, at its core, allows users to create lending pools in which they can lend or borrow 17 different cryptocurrencies, including ETH, BAT, and MANA.
Borrowers in Aave, like those in other Ethereum-based decentralized lending platforms, must post collateral before they can borrow. Furthermore, they are only permitted to borrow up to the value of the collateral they have posted. Visit Aave’s official site for more information.