AAVE would be a good investment opportunity, according to entrepreneur
On-chain data shows that there is great growth in the collateralized lending sector on DeFi platforms.
Aave is the main lending protocol in decentralized finance. The price of the AAVE token is 80% below its all-time high reached in 2021.
Collateralized lending protocols on decentralized finance (DeFi) platforms are experiencing significant growth so far in 2024, a sign of user confidence in these financing alternatives.
Currently, active loans amount to more than $11 billion, levels not seen since early 2022, according to data from Token Terminal.
As for the total value locked (TVL) of the top 10 protocols, including Aave, it is over $71 billion, 100% higher than the low of $31 billion recorded at the end of 2023.
For J.D. Salbego, entrepreneur and founder of Etheros Labs, this is a significant rebound that “suggests an increase in leverage, a possible bull market indicator.” He also highlights: “DeFi is ‘waking up again’ and the numbers back it up.” Based on on-chain data from the last 30 days, Salbego highlights that “DeFi infrastructure is solid and ready.”
