The price spiked after the altcoin founder announced that he would launch a Twitter Spaces post with the headline “secret product launch.”
The announcement that the altcoin founder was hype was empty
In addition to this, Aave founder Stani Kulechov wanted to reach more listeners to open the said broadcast. Then the hype increased even more when he said that “web3 is not ready for this”. However, the founder shared a countdown. After this countdown, he made an announcement that he would “become a father”. After it became clear that the announcement was not related to Aave, the price of Aave went down abruptly.
Aave is known as a decentralized finance protocol that allows people to lend and receive cryptocurrencies. However, lenders earn interest by investing their digital assets in specially created liquidity pools. In addition, borrowers can then use their crypto as collateral and use this liquidity to get a flash loan. According to cryptokoin.com data, AAVE is traded at $ 90.03.
When Aave was launched in November 2017 it was originally known as ETHLend. However, its rebranding as Aave took place in September 2018. In addition, AAVE provides token holders with discounted fees on the platform. It also serves as a governance token, giving its holders a say in the future development of the protocol.
Also, Aave and its predecessor, ETHLend, were founded by Stani Kulechov. At the time, it was frustrated by the lack of lending apps on Ethereum. However, he had built his project before decentralized finance even existed.
Largest pool of deposits
According to the latest data from Messari, it has been observed that the stETH pool on the Aave protocol has become the largest deposit pool on the platform. This growth was attributed to increased interest in staked Ethereum due to the upcoming Shanghai upgrade.
The growth in staked ETH deposits last month was significant. Despite this, the number of unique users on the Aave protocol has decreased. Compared to last month, it experienced a significant decrease of 35.3% and the number of transactions on the platform decreased by 45.01% in the same period.
Despite this decline in revenue and user numbers, interest in the Aave token continued to grow. This can be seen in the sharp increase in the percentage of large holders accumulating Aave, as well as a noticeable increase in the speed of the Aave token. This increase in speed indicates that the frequency with which Aave is exchanged between addresses has increased over the past month.
Despite this decline, the surge in user interest and staked ETH deposits shows that Aave remains a promising investment for users seeking exposure to the growing DeFi space.
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