DeFi
Ethereum-based DeFi lending protocol Aave ready to launch its own blockchain, CEO hints at 2025 timeline
May 29, 2024 3:24 a.m. | 2 minutes of reading
DeFi Lending and Borrowing Protocol Aave (CRYPTO: AAVE) reportedly plans to launch its own blockchain after its upcoming V4 upgrade.
What happened: The CEO of the protocol Stani Kuleshov disclosed the news via an X post on May 27, saying: “This is not an exercise, Aave Network is planned to come after V4.”
Kulechov was responding to a message from Marc Zeller, a key member of the Aave governance team, who hypothesized the existence of such a layer.
Asked about the timeline, the CEO hinted at a 2025 launch “of course or sooner.”
Why is this important: The CEO’s admission comes following a proposal include the development of Aave Network as part of its 2030 roadmap.
The proposal called for the new network to serve as a primary hub, while retaining its multi-chain and network-agnostic characteristics.
Aave is the largest lending protocol and third largest DeFi project as of this writing, with deposits of over $13 billion, according to DeFiLlama. Think of it as a bank that issues loans using blockchain technology.
Originally built atop the Ethereum (CRYPTO: ETH) blockchain, the protocol has since expanded to other major networks like avalanche (CRYPTO: AVAX). Zeller claimed that Aave would be the largest layer 2 Ethereum network if it existed independently as a chain.
Price action: At the time of writing, AAVE was trading at $106.34, up 0.34% in the last 24 hours, according to data from Benzinga Proand more than 10% more over the week.
Photo by Avi Rozen on Shutterstock
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