What is AAVE crypto? Decentralized finance or DEFI is ubiquitous in cryptocurrency space. Many new DEFI solutions provide exclusive correspondence with traditional financial services (such as loans and transactions). AAVE is one of the famous examples of the DEFI solution, which aims to help users borrow and earn encrypted assets without any intermediaries. Let's take a look: What is AAVE? How does AAVE work? What is the aave token used for?

Decentralized finance or DEFI is ubiquitous in cryptocurrency space. Many new DEFI solutions provide exclusive correspondence with traditional financial services (such as loans and transactions). AAVE is one of the famous examples of the DEFI solution, which aims to help users borrow and earn encrypted assets without any intermediaries. Let's take a look: What is AAVE? What does AAVE do? AAVE coin's founding team and historical introduction.

What does AAVE mean? (Aave)

One of the many emerging Defi cryptocurrencies, AAVE is a decentralized loan system that allows users to borrow cryptocrete assets without middlemen and earn interest.

AAVE it runs on the Ethereum blockchain, but a smart contract system that enables these assets to manage the distributed computer network running its software.

This means that AAVE users do not need to trust specific institutions or individuals to manage their funds. They only need to believe that its code will be executed in a way of writing.

AAVE's core is to create a loan pool that allows users to borrow 17 different cryptocurrencies, including ETH, BAT and Mana.

Like other decentralized loan systems in Ethereum, AAVE borrowers must provide collateral before borrowing. In addition, they can only borrow the value of the collateral they issued.

The borrower calls a ATOKEN in the form of a special token, which is linked to the value of another asset. Then coded the token, so that the loan can get the deposit interest

For example, the borrower can publish the DAI mortgage in the middle and then release ETH loans in the middle. This allows borrowers to contact different cryptocurrencies when they are not fully owned.

AAVE can also introduce other functions, such as instant loans, and other forms of debt and credit issuance, with unique design attributes of blockchain.

What is AAVE borrowing

AAVE is headquartered in Switzerland by a profit -making company, established in 2017. Kulechov received legal training in Helsinki and was established in the student days AAVE.

The company was originally named ETHLEND. During this period through the first token issuance (ICO) in 2017, it sold 1 billion units and raised $ 16.2 million AAVE cryptocurrency-initial name Lend.

Lend100 cryptocurrency Lend tokens to 1 AAVE transfer speed AAVE, reduced the total supply of cryptocurrencies to 18 million AAVE.

The difference between ETHLEND and AAVE is that it is not concentrated funds, but trying to point the point to match the lender and borrower. In 2018, ETHLEND was renamed AAVE, which means Finnish "Ghost". ETHLEND becomes a subsidiary of AAVE.

Other products and services announced at the time include trading stations that handle large transactions, game studios focusing on blockchain games and processing payment systems.

AAVE mobile fund pool

One of the most important factor in understanding "What is AAVE" will obviously bring liquidity pools into equal forms. In the first few days of DEFI, users must find another person who is preparing to provide loans on the platform. The two parties must reach an agreement on completing the loan price and conditions of the transaction. The AAVE example shows that it has changed a lot since then. The new method of DEFI has bypassed the concept of point loan and introduced the method of pool loan. So what are these pools and how do they work there?

Users deposit their cryptocurrencies into the operating capital pool, and the AAVE protocol can be borrowed. Anyone who deposits tokens into the pool is called liquidity provider. They received the new Atoken to provide liquidity returns to the agreement. ATOKEN holders will receive AAVE Lightning Loan share and related platform ATOKEN interest. If you are considering depositing tokens into a pool with excess liquidity, you will not get more returns. However, if you deposit deposits in the pool that requires it, you will have a chance to make more.

AAVE's history

AAVE's founder Stanikulechov and a development team released a network ETHLEND called loan encrypted assets. AAVE was originally known as ETHLEND launched in September 2017. AAVE was created by Stanikulechov. He was dissatisfied with the rarely established loan applications established by Ethereum.

The agreement was renamed AAVE in September 2018. If you want to know what AAVE is, what does it mean? A word in "AAVE" Finnish means ghost.

AAVE first issued tokens (ICO) in November 2017, AAVE tokens were held in November 2017 (then called Lend) to raise $ 16.2 million to raise $ 30,000 for investors. The original token of the system is Lend, but due to the lack of liquidity in bear markets and loan orders, the project loses attraction in 2018. The project was renamed AAVE (AAVE), which created an automated protocol that includes pools borrowing and borrowing various encrypted assets. AAVE was released in early 20120. Lend is replaced by the AAVE tokens, converted to 1 AAVE per 100 leads, and existing 16 million yuan.

AAVE characteristics

Learn more about the last aspect of AAVE is the function provided in the agreement. The tokens on the AAVE platform are one of the most important functions you must pay attention to. Although the liquidity provider received ATOKEN, the native AAVE tokens played an important role in DEFI in the loan protocol. AAVE cryptocurrency provides a variety of advantages for the holder. For example, those who borrow tokens do not have to pay the transaction fee for the pricing token loan. In addition, the borrower using AAVE as a mortgage also has the opportunity to obtain a transaction fee discount.

The next unique feature of AAVE as an open source DEFI protocol is that users can gain interest in real time. The AAVE Lightning Loan also provides the opportunity to borrow cryptocurrency without any mortgage. But the borrower must repay the loan in the same transaction. If the borrower does not repay the funds within the prescribed time, the loan transaction will be refunded.

Another highlight of the AAVE encryption loan protocol is the interest rate conversion tool. The agreement supports borrowers to switch between fixed interest rates and floating interest rates. Therefore, it helps reduce loan costs. The AAVE protocol has a diversified product portfolio covering technology, games, finance and other fields. At present, this is the most diverse loan pool in this field.

What makes AAVE different?

AAVE is unique in the DEFI market. It is said that it is one of the top currency markets in liquidity and technical characteristics. The difference between AAVE and DLT (distributed ledger technology) loan platform is that it can borrow a large number of encrypted assets, including Ethereum (ETH) waiting for top transactions cryptocurrencies and other cottage currencies and stable currencies.

AAVE also took the lead in launching a "Lightning Loan" function. These enable protocol users to borrow encrypted assets without depositing mortgages. Lightning loans involve capital pools that return liquidity to trading blocks.

AAVE can also provide the best value with many people to select the platform to operate AAVE with cryptocurrencies.

What gave AAVE value?

AAVE is valued for its technical capabilities, practicality and characteristics. AAVE's value also depends on its supply, limited to 16 million AAVE. The AAVE system uses paid fees to purchase AAVE and removes it from the loop supply. AAVE is burned, and the supply has gradually decreased. In the process, about 80%of the cost is used to motivate lenders in the system.

AAVE value also depends on the adoption and popularity of the agreement, and the value of the AAVE market depends on the balance of market transactions.

How many AAVE (AAVE) coins are circulating?

Among the 16 million AAVE's maximum supply, about 12.5 million tokens are circulating. The system uses most of the income generated by cost to return to the circulation of AAVE, and then adjusts the liquidity of AAVE provided and promotes protocol during the destruction process.

The number of AAVE in circulation supply is multiplied by the current amount of AAVE in the market equal to the market value of tokens. Compared with other cryptocurrencies in the market, the market value and market leading position is defined.

Other technical data

One of the AAVE security modules AAVE is stored in the case of funding shortage as a security network. If the funds in the system are insufficient, the agreement will use the funds of the security module to sell the funds AAVE to make up for the deficit. This is a way to prevent losses from losses and strengthen capital in loan protocols.

In addition to mortgage and capital protection, AAVE practical procedures are also related to governance. AAVE holders can make suggestions and votes for changes that may affect system parameters and security modules. In this governance system, a AAVE is equal to one vote.

How does AAVE protect the network?

The AAVE network passes the AAVE protection protocol, which regularly audit and improve the agreement to maintain the highest standard security of lenders and borrowers using the platform. The loan is guaranteed by the mortgage, because the borrower needs to deposit the mortgage to obtain the loan. Because borrowers need to deposit more mortgages than loans, the overall security increases with excess mortgage.

In the non -hosting intelligent contract on the Ethereum network, the mining pond host provides additional security layers through the security update of Ethereum.

What can you use AAVE cryptocurrency to do?

AAVE is designed to use AAVE on the platform and can provide a variety of benefits for their holders.

Holding AAVE tokens usually provide users with discount transactions on the platform. AAVE as a loan mortgage borrower can also get fees discount. These borrowers are also capable of getting greater loans. On the other hand, users can borrow AAVE and collect interest.

Finally, when these loans are priced at tokens, AAVE obtains a loan of encrypted borrower for free.

AAVE tokens are also a governance tokens similar to tokens, such as Uniswap (UNI). AAVE cryptocurrency enables holders to meet the upcoming request AAVE voting agreement to change.

Traders can also speculate that AAVE hopes to buy and sell low in the future. When selling coins, short -term traders need to pay cryptocurrency tax.

There are more than 30 different types of encrypted user AAVE platform borrowing: for example, ETH (Eto native currency), DAI, Tether, or USDC waiting for stablecoins, etc.

Should you invest in AAVE?

It is believed that investors who will continue to grow in decentralized loans may find that AAVE cryptocurrencies are very attractive.

As mentioned above, having AAVE allows users to enjoy privileges on the AAVE platform, including transaction and expense discounts. And because AAVE is the largest DEFI, one of the lenders is highly liquid.

In terms of stability, life and innovation commitment, the AAVE platform is still the largest platform in DEFI.

In other words, investing in cryptocurrencies requires very familiarity with the working methods of various platforms, tokens and coins and the potential risks involved. Stocks and bonds, even those markets with long history and highly supervised stocks and bond ETFs. The encryption market is relatively new, basically unsupervised, and develops rapidly. Although this provides many possible opportunities for investors and traders, the active results cannot be guaranteed in view of the volatility of this space.

How to choose aave wallet

AAVE is an ERC-20 token that can be stored in ETH and ERC-Wallets created by Ethereum. There are many options to store your wallet AAVE fund safely, so the holder can choose from hardware, desktop, mobile or browser -based wallet.

Hardware wallets or cold wallets (such as Ledger or Trezor) provide the safest offline storage and backup options. However, these may involve more learning curves and are more expensive choices. As a result, they may be more suitable for stored a large and more experienced users AAVE.

Software wallets provide another choice, free and easy to use. They can be downloaded as smartphones or desktop applications, or they can be used as hosting or non -hosting. Use the hosting wallet to represent the management and backup private key on the service provider. Non -controlling wallets use the safety elements on the device to store private keys. Although they are convenient, they are considered as safe as hardware wallets, and they may be more suitable for a small amount of AAVE or more novice users.

Online wallets or online wallets are also free and easy to use, and you can use network browsers to access from multiple devices. However, they are considered hot wallets, which may not be as safe as hardware or software substitutes. Because you may trust this platform to manage your AAVE, you should choose good reputation services and have good records in safety and custody. Therefore, they are most suitable for frequent or more experienced traders.

Kriptomat provides a safe storage solution so that you can easily store and trade your AAVE tokens. Use Kriptomat to store AAVE to provide you with enterprise security and user -friendly functions.

When you choose our security platform as your storage solution, buy and sell AAVE, or convert it to other cryptocurrencies, you can complete it for a while.

AAVE mining and pledge

AAVE holders can pledge their AAVE balance in the security module and get rewards. AAVE can also be mortgaged in the pool as a loan, and the lender can earn interest according to the mortgage deposit. The project is starting the AAVE mining pool, which will increase the liquidity of stable currencies and DEFI tokens.

Although these mining pools aims to reward the participation of lenders and borrowers, this concept is not an encrypted mining in the traditional sense, just like the situation of Bitcoin. The system depends on promise because the protocol is open and non -hosted.

Answer common questions

How to buy AAVE

You can easily buy AAVE by setting up purchase orders on the exchange you choose. If you want to know how to buy AAVE and how to find a good exchange that supports AAVE, you will be glad to know the Kriptomat exchange support AAVE for sale.

How to sell AAVE

You can also buy AAVE is also easy to sell AAVE. If you already have AAVE and save it Kriptomat in the switching wallet, you can easily sell through the navigation interface and select the required payment method.

price

AAVE volatility is the same as other encrypted assets, which is why the price of AAVE often changes. Its value is influenced by many traditional factors such as project news and development, market sentiment, exchanges cryptocurrency flow, and overall economy. In addition to these things, AAVE will be burned because the tokens will be burned when the agreement costs, so the total value of locking in the agreement will also be affected.

The current AAVE (AAVE) price is 89.54 euros.

AAVE24 hours of transaction volume is 144,212,297 euros. AAVE currently ranks 44th among all cryptocurrencies according to the total market value, with a market value of 1,267,084,517 euros. Its circular supply is 14,130,722Aave.

How does AAVE work?

AAVE is best described as the lending pool system.

The participants deposited the funds they wanted to borrow and then collected them into the mobile fund pool. The borrower can then withdraw funds from these funds pools during the loan. These tokens can be traded or transferred according to the wishes of the lender.

In order to promote this activity, AAVE issued two tokens: atokens, which issued the lender to collect deposit interest AAVE tokens, which is the native currency of AAVE.

AAVE cryptocurrency provides several advantages for holders. For example, if the AAVE borrower is loan for loans for token loans. In addition, the use of AAVE borrowers can be discounted as a mortgage.

If the AAVE owner can further check the loan before AAVE is published to the public. The payment fee will be paid. AAVE borrower can also borrow more as a mortgage.

Data company NOMICS has a wider list of AAVE features.

in conclusion

AAVE is an indispensable participant in the field of decentralization. The project quickly obtains value DEFI token flash loans and liquidity mining through new functions and unique functions such as stabilized currency and stable currency. In order to build a completely scattered open financial system, there is no need to custody. AAVE developers and communities are working together to allow everyone to borrow cryptocrete assets.