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Aave Founder Buys £22M London Mansion Amid UK Luxury Market Slowdown

Stani Kulechov, founder of the decentralized finance protocol Aave, has acquired a £22 million Victorian mansion in London’s Notting Hill, marking one of the city’s most significant residential transactions in the past year. This purchase occurs against a backdrop of cooling UK luxury property markets and coincides with Aave Labs’ strategic consolidation of its brand identity to focus on core lending operations.

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Aave Secures MiCA Approval for EU Stablecoin Services

Aave Labs has achieved a landmark regulatory breakthrough, becoming one of the first major decentralized finance projects to secure authorization under Europe’s new Markets in Crypto-Assets regulation. This approval positions Aave at the forefront of compliant DeFi expansion, enabling regulated stablecoin services across the European Economic Area through its fiat-to-crypto service Push and marking a significant step toward bridging traditional and decentralized finance.

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AAVE Surges as Hayes Buy & V4 Upgrade Fuel $1K Target

AAVE is capturing renewed investor attention following a significant token purchase by BitMEX co-founder Arthur Hayes and upcoming platform upgrades. The combination of high-profile acquisitions and technical developments has analysts eyeing a potential $1,000 price target. Current trading activity shows modest gains as the community watches these developments unfold.

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AAVE Rally Speculation Grows After Hayes Buy & Buyback Strategy

A potent combination of aggressive tokenomics and a high-profile endorsement is fueling speculation of a significant rally for AAVE. The decentralized finance protocol’s strong fundamentals, including $130 million in annual revenue and a systematic buyback program, have laid the groundwork for optimism. This bullish sentiment received a powerful boost from former BitMEX CEO Arthur Hayes, whose purchase of 1,630 AAVE tokens has market watchers anticipating a major price surge.

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Ethereum Foundation Sells 10K ETH, Sparks Funding Debate

The Ethereum Foundation has begun selling 10,000 ETH (worth approximately $42.7 million) through Kraken exchange, following a transparency notice about converting assets to fund research, grants, and donations. The foundation plans to execute smaller transactions to minimize market impact and still holds over 224,800 ETH. The decision has drawn mixed reactions: critics, including AaveChan founder Marc Zeller, argue the foundation should use DeFi protocols like Aave instead of centralized sales, while supporters praise the transparency and note that the sale volume is relatively small compared to weekly Treasury purchases. The foundation had previously borrowed using wrapped ETH as collateral, adding complexity to the funding debate.

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Aave Hits $50B in Deposits, Rivals Top US Banks

Aave has achieved a major milestone by surpassing $50 billion in net deposits, making it the largest DeFi protocol with nearly double the TVL of its closest competitor, Lido. Remarkably, this deposit volume would rank Aave 47th among US-chartered commercial banks, ahead of institutions like Deutsche Bank and Barclays. The platform’s growth is being driven by increasing adoption from traditional financial firms and fintech companies, with notable users including the Ethereum Foundation and a DeFi venture linked to Donald Trump. Aave Labs’ Director of Institutional and DeFi Business, Seb Pulido, envisions $1 trillion in deposits, supported by initiatives like Horizon, which focuses on integrating real-world assets (RWAs) into DeFi. This development highlights the accelerating convergence of decentralized and traditional finance.

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Aave Launches Umbrella: On-Chain Risk Management System

Aave has launched Umbrella, an on-chain staking-based risk management system built by BGD Labs and approved by Aave governance. Unlike the previous Safety Module, Umbrella allows users to stake interest-bearing aTokens (e.g., aUSDC, aWETH, GHO) to provide real-time, automated coverage for bad debt. The system automatically burns staked assets in case of a deficit, reducing reliance on governance intervention. Umbrella is structured around three smart contracts: StakeTokens, Rewards Controller, and Umbrella Core, all upgradeable by the DAO. The rollout started on Ethereum and will expand to other networks, with initial focus on high-borrow demand assets like USDC and WETH. Users staking aTokens earn base yield and protocol rewards but accept slashing risk confined to the specific asset and network. The system has undergone four independent security audits to ensure resilience. Umbrella marks a shift toward autonomous on-chain safety, aligning user incentives with protocol health.

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Aave’s USDT Liquidity Drops After $570M Justin Sun-Linked Withdrawal

Aave’s USDT liquidity dropped sharply to under $100 million after a wallet tied to HTX, a crypto exchange associated with Justin Sun, withdrew $570 million from the lending pool within three hours. The withdrawal caused USDT interest rates on Aave to surge, with deposit rates jumping from 3.8% to 29% and borrowing rates climbing from 4.4% to 33.6%. Analysts noted the high utilization could trap large depositors, but Aave’s Marc Zeller downplayed concerns, calling it a ‘small liquidity crush’ and expressing confidence in a quick resolution. Meanwhile, AAVE’s price dipped over 4%, though the protocol remains dominant in DeFi with over $40 billion in total value locked (TVL). The Ethereum Foundation’s recent $2 million loan via Aave underscores institutional confidence despite short-term liquidity stress.

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Ethereum Foundation Borrows $2M in GHO Stablecoins via Aave

The Ethereum Foundation (EF) has entered DeFi by borrowing $2 million in GHO stablecoins on Aave, using wETH as collateral. This aligns with Aave’s value proposition, allowing ETH holders to access liquidity without selling their holdings. Aave founder Stani Kulechov praised the move as a demonstration of DeFi’s full utility cycle. The EF has not officially commented, but the crypto community supports the strategy as a sustainable treasury approach. This follows EF’s recent DeFi engagements, including deposits into Aave, MakerDAO’s Spark, and Compound. The borrowing reflects a shift from liquidating ETH to leveraging DeFi for yield generation, distancing EF from past criticism over ETH sales. Aave remains Ethereum’s top lending protocol with $43B in TVL, while GHO’s circulating supply stands at $249M.

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Ethereum Foundation Borrows $2M in GHO from Aave

The Ethereum Foundation (EF) has borrowed $2 million in GHO, a decentralized stablecoin developed by Aave, signaling deeper involvement in DeFi strategies. Aave founder Stani Kulechov described the move as completing ‘the full DeFi circle,’ noting that EF is both supplying ETH and borrowing from Aave. GHO is an overcollateralized stablecoin governed by Aave’s DAO, which manages interest rates, collateral requirements, and facilitator selection. This development highlights the growing synergy between major blockchain entities and decentralized finance protocols.

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Aave Launches sGHO Savings Product with Enhanced Security and Tokenomics Updates

Aave has launched sGHO, a low-risk savings product that allows GHO stablecoin holders to earn interest through the Aave Savings Rate (ASR). This initiative ensures GHO assets remain secure in smart contracts while providing competitive returns from lending rates and incentives.In addition to sGHO, Aave is revamping its tokenomics with a “Buy and Distribute” scheme for AAVE token buybacks and introducing a new security system called “Umbrella” to protect users from potential losses. The platform is also expanding to the Sonic blockchain, enhancing transaction efficiency and reducing fees for users.

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