Aave takes 67% of DeFi lending market as GHO soars

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Aave, arguably the leading DeFi protocol, has reached a new all-time high in token holders and boasts close to $20 billion in user deposits.

, arguably the leading DeFi protocol, has reached a new all-time high in token holders and boasts close to $20 billion in user deposits. Aave continues to solidify its position as a market leader.

Aave offers a comprehensive platform where users can deposit, borrow, and earn interest on their crypto holdings. It’s tokens incentivize users, and its standardized on-chain financial metrics reveal consistent growth in deposits and borrowing, further driving Aave’s dominance in the market.Aave’s GHO stablecoin continues to perform strongly, with metrics reaching all-time highs. The outstanding supply of GHO, as well as monthly transfer volume and sender activity, has consistently increased.

Currently, its holds 67% of the market share in the lending sector, and its dominance is expected to continue. Compared to traditional finance, where margin loans total around $800 billion, Aave and DeFi as a whole have significant room for growth.Borrowing on Aave requires collateral, and individuals, confident in the market’s rise, often use BTC or ETH as collateral to borrow in stablecoins and exchange for other crypto, allowing them to profit when prices increase.

 

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