what's aave?
Aave is a leading DeFi crypto lending protocol with over $50 billion in net deposits and a market cap of $4.07B. The project generated over $90M in fees during September 2025, setting pace for a monthly all-time high, though only $12M stayed with the protocol. Active USDC loans have surged 150% since the start of the year, helping Aave maintain its leadership position in active loans within the DeFi space. The protocol is preparing to launch its V4 update by the end of 2025, promising a major transformation of the ecosystem. Aave has achieved significant growth on the Plasma network, reaching $5.5B market size in just 3 days and representing 81% of Plasma's total activity. The platform continues to expand with new features including liquidity incentives through Aave Arc and lower interest rates to attract more users.
Founder acquired AAVE tokens; protocol had $4.6B liquidations, $4.73M revenue, RLUSD deposits grew.
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Hiring for a Talent Relations Partner, Engineering role.
Partnership with Maple Finance continues to be extremely fruitful
wrsETH deposits on Aave on Mantle doubled to approximately $50M in under 3 days, maxing out the supply cap twice in under a week.
Powers Tydro's lending markets on Ink chain, enabling borrowing of multiple assets using SolvBTC as collateral.
Generated $83.3 million in fees over the past 30 days.
Integrated with ResolvLabs to enable JAAA (AAA-rated institutional credit tokenized asset via Centrifuge) as an actively deployed, leveraged component on Aave Horizon lending markets.
Powers yield-bearing stablecoins for the MetaMask Card, launched in the United States on 2026-02-26, enabling spending across Europe and the U.S.
A whale deposited 8,151 ETH into Aave as collateral and borrowed 36 million USDT through循环贷 (循环 lending) to purchase an additional 17,283 ETH, creating a leveraged long position of 25,400 ETH ($52.45 million) with a liquidation price at $1,705.
Generates $140 million in annual revenue.
Reached $27.2 billion in total value locked.
Integrated with GRVT, a perpetual DEX on ZKsync with $1.8B volume, for tokenized stablecoin deposits enabling up to 11% APY.
Hiring a Partner Solutions Architect role in London or New York with salary range $125K-$145K.
Crossed $1 trillion in cumulative all-time loans issued on February 25, 2026.
Deployed V3 on Mantle network with ten assets (WETH, WMNT, USDT, USDC, USDe, sUSDe, FBTC, syrupUSDT, wrsETH, GHO), offering MNT rewards with 6-7% APR on stablecoins in February 2026.
Integrated on Mantle, surpassed $800M total market size for supply and borrows, with $590M TVL within two weeks.
Core engineers at Aave Labs departed by 2022.
Has over $30 billion in total value locked (TVL).
Faces FUD (fear, uncertainty, and doubt) regarding its track record.
GHO is now available for trading on Blockchain.com's Trading Account platform.
Integrated with Pendle, adding aRLUSD and aPYUSD markets with 2026-05-28 expiry, enabling fixed yield trading, LP positions, and PT/YT splitting on these Aave interest-bearing tokens.
Rejected $51M funding for Aave Labs by February 27, 2026, for 100% of revenue and IP rights to Aave DAO. ACI criticized Labs for $86M+ received, 6 unprofitable products, and 2.5% governance participation, warning of V3/V4 risk; Aave Labs backtracked on a plan to sideline v3, as "Aave Will Win" Snapshot saw NAY votes lead with 663K voting power unvoted.
Snapshot vote for $51M funding request scheduled 2026-02-26.
Aave Labs has received approximately $86M in funding to date.
Raised $16.2M via the ETHLend ICO in 2017.
Reduced buyback activity by 88.8% in the most recent 30-day period compared to the previous 30-day period.
Highlighted as one of seven crypto projects institutions are already using, specifically for DeFi money markets with risk tooling, deep liquidity, clear collateral mechanics, and a track record suited for institutional capital modeling.
Has ETF applications filed by Grayscale and Bitwise awaiting approval in 2026.
Featured founder Stani Kulechov in an OFFSTAGE episode in February 2026.
Completed third security audit for V4 by Chainsecurity in February 2026.
BGD Labs proposed a $200,000 security retainer to ensure smooth transition through June 2026.
Ranked 4th among all crypto protocols by 7-day fee generation.
Boosted rewards program for wrsETH on Aave's Mantle Market is scheduled to end on 2026-03-18.
mETH Protocol routes approximately 20% of its TVL to Aave through its Buffer Pool upgrade on Mantle, enabling ETH redemptions in approximately 24 hours with no extra fees and providing blended yield from Aave lending plus staking rewards.
Allocates 100% of product-layer fees to DAO treasury, with current annualized revenue at $10M–$30M.
Aave Labs proposed transferring ownership of intellectual property (smart contracts, frontend, brand, trademarks) to a Foundation entity, with the proposal pending token holder vote.
DACM deposited 4,999 AAVE tokens (valued at approximately $572,912) into FalconX and holds 16,340 AAVE tokens (worth approximately $1.89M) across multiple wallets.
Has $455K of unliquidatable bad debt on V3 Polygon deployment that existing liquidation bots cannot process.
Available liquidity for borrowing USDC on Mantle deployment reaches 8M USDC at 1.46% borrow rate.
Available liquidity for borrowing USDT on Mantle deployment reaches 100M USDT at 2.7% borrow rate.
Crossed $750M in assets across Plasma, Ethereum, and Base.
Vitalik Buterin withdrew 3,500 ETH (~$6.95M) from Aave on 2026-02-21.
Vitalik Buterin converted 571 ETH into 1.13 million GHO at a price of $1,980 per ETH over an 8-hour period ending on 2026-02-22.
Integrated Chaos Risk Oracles for real-time parameter updates to support safer and more capital-efficient markets.
Base wstETH incentive campaign achieved $9,900 in TVL per $1 spent.
Distributed $101M in total incentives during 2025, comprising $21.2M from DAO treasury and $80M from partners including Ripple, Ethena, and Plasma.
Ripple RLUSD incentive campaign increased TVL from $4.9M to $382.8M.
Generated $12.7M in direct revenue and $5.8M in stablecoin borrow revenue from Ethena/Pendle integration.
Captured 85% of Ethena lending market share, with Ethena-related deposits peaking at $6.8B and currently at approximately $2.35B.
WETH borrows increased from $1.1B to $5.87B, driven by LRT/eMode configuration with weETH, rsETH, and ezETH.
Generated approximately $37M per year from WETH borrows, representing 28% of protocol revenue.
GHO supply grew from $35M to $527M.
Integrated with Starkbot version 0.5.60 as one of the supported protocol skills alongside ENS, Polymarket, and Linear.
CTO of Aave DAO stepped down from the role.
Core contributor left DAO.
BGD Labs ends contributions to Aave on 2026-04-01, citing centralization risks, an adversarial approach by Aave Labs regarding v4 prioritization, and governance concerns.
wrsETH supply caps on Aave v3 Mantle market fully utilized, reaching approximately $50 million total supply, doubling in under 3 days.
Generated $93.1M in fees over a 30-day period, a 47.2% increase, with daily fees at $2.96M ($1.08B annualized).
Proposed v3 deprecation with worse parameters to push users to v4, developing v4 with Hub & Spoke architecture.
Transferred approximately 1,600 AAVE tokens (valued at ~$195K) from the Aave Labs multisig to Kraken exchange, marking the first transfer to a centralized exchange from this multisig in over 4 years.
BGD Labs ceases contributions to Aave in April 2026, having built Aave v3, governance infrastructure, and Umbrella, and led Aave v3 engineering for four years.
Implements a $50 million annual buyback program for AAVE tokens.
Added wrsETH (KelpDAO) as a supported collateral asset on Mantle deployment, enabling supply, borrowing, and looping functionality.
Integrated with Infinit Labs' Prompt-to-DeFi platform as one of the underlying protocols that AI agents route transactions through for lending operations.
Protocol revenue increased from approximately $5.2M to approximately $142M over the period covered by the DAO budget proposal.
DAO budget of approximately $4.6M over approximately 3 years for a team of 8 people was allocated or proposed.
Has a net interest margin of approximately 3% on current lending operations, with analysis suggesting GHO stablecoin generates 10%+ margin and future Aave app development may improve overall margin profile.
Integrated with Securitize to support natively tokenized securities lending on the protocol.
USDC deposit rate on Aave reached 2.34%.
Reached $1 billion in tokenized Real World Asset (RWA) deposits.
Completed second security audit for Aave V4 by Sherlock and Blackthorn teams.
Integrated with Mantle network on February 13, 2026.
Deployed on Mantle network with incentives for sUSDe and syrupUSDT lending and borrowing, reached $591.28M total market size within 14 days, with $403.20M available liquidity and $188.09M total borrows.
Generates $9.5M in monthly revenue as of February 2026.
Reached USDC and USDT deposit caps on Mantle deployment, offering 22% APR for supplying USDC and 11% APR for supplying USDT.
Provides deep liquidity for PT-sUSDe-7MAY2026 and PT-USDe-7MAY2026 loop pairs on Contango, supporting 20% PT-srUSDe loop functionality.
Hiring Partner Solutions Architect in London or New York, Staff DevOps Engineer remote in Australia/New Zealand/Singapore, and Staff React Native Engineer remote in US.
Reached $400 million in PYUSD deposits in Q4 2025, representing a 40x increase from the previous quarter.
Removed the GHO vToken discount mechanism in V3.4.
Marc Zeller published an article claiming that ACI (Aave Chan Initiative) generated $29 for Aave DAO for each dollar ACI received in compensation totaling $4.6M.
Integrated with BlackRock's BUIDL fund to enable borrowing against tokenized Treasury holdings.
Aave v3 on Ethereum achieved a net interest margin of approximately 0.4%.
Generated $800M in revenue during 2025.
Reached $23 billion in active loans, representing approximately 62% market share in the RWA lending sector.
ETF launched on NYSE by Grayscale
Reached 196,388 holder wallets.
Introduces version 3.7 of the protocol.
Moving into infrastructure finance (InfraFi) with solar panel financing.
Hiring for Partner Solutions Architect role in London and New York.
Plans $50M fintech expansion to compete with traditional apps like Revolut.
Polygon network's integration of native USDT0 via Plasma launched with $5.9 billion in Aave deposits within 48 hours on 2026-01-15, becoming the second-largest Aave market globally.
$7.4 billion in Aave tokens bridged using LayerZero OFT standard, representing 18.5% of Aave's total value locked.
Invested in Self Protocol as part of a $9M+ funding round alongside Google Cloud.
ETH supply APY on the platform reached 7.5%.
Speculation about a revamped token economics model and ETF for AAVE in 2026, with no confirmed timeline or details provided.
Integrated with Bybit to provide a direct liquidity bridge connecting CeFi and DeFi for the Mantle deployment.
Liquidated over $200 million in minutes on October 10, 2025.
Grayscale filed with SEC on February 13, 2026, for AAVE Trust ETF with Coinbase as custodian.
Stani Kulechov scheduled to speak at a public event on February 13, 2026 at 1:30 PM ET discussing the "Aave Will Win Framework" proposal and other topics in neo finance.
Integrating frxUSD as productive collateral with underlying yield flowing back to Aave users through collaboration with Frax Finance.
Increased PT-srUSDe supply cap from $50M to $100M, enabling leveraged yield strategies up to 16.43% APY.