Aave Achieves Record $35 Billion in Net Deposits
Leading decentralized finance (DeFi) platform Aave has achieved $35 billion in total net deposits, marking a new all-time high (ATH) since 2021.
Aave Hits $35 Billion In Net Deposits – What’s Ahead?
In an announcement, Aave reported reaching a new ATH in net deposits. With $35 billion, Aave remains the largest DeFi protocol as of this writing.
Aave's net deposits were $5.5 billion at the end of 2022 and grew to $10 billion by the close of 2023. The current figure reflects a surge of over 535% in two years.
The year 2024 was transformative for Aave, with increased user adoption across multiple blockchains. Aave added support for five new markets, including BNB Chain, Scroll, ZKsync Era, and Ether.fi.
Aave plans to expand further, potentially adding support for six additional blockchains: Mantle, Sonic, Linea, BOB, Spider Chain, and Aptos, pending approval by the Aave decentralized autonomous organization (DAO).
A DAO is a blockchain-based entity governed by smart contracts and decentralized voting, allowing collective decision-making by token holders without central authority.
Aave also launched its latest protocol upgrade, Aave V4, which includes improvements such as enhanced modularity, reduced governance overhead, optimized capital efficiency, and new features like Hub and Spoke liquidity architecture.
Aave’s decentralized stablecoin GHO is set for increased adoption, with plans to expand cross-chain support across various platforms, including Coinbase’s Base and Avalanche (AVAX), by early 2025.
DeFi To Make A Comeback In 2025?
After Donald Trump’s victory in the November 2024 U.S. presidential election, DeFi tokens experienced a surge due to optimism around favorable cryptocurrency regulations.
DeFi protocols have become more secure, leading to higher deposit volumes and larger total value locked (TVL). A report indicated that DeFi exploits decreased by 40% in 2024 compared to the previous year, showing improved security.
Q1 2025 is expected to be bullish for Ethereum (ETH), benefiting major DeFi tokens such as AAVE, Curve (CRV), and Compound (COMP).
The Solana (SOL) DeFi ecosystem is rapidly gaining traction, potentially boosting Solana-based DeFi tokens like Orca (ORCA) and Raydium (RAY). Currently, ETH is trading at $3,461, up 4% in the past 24 hours.
