​​Aave (AAVE) Aave is a decentralized lending platform where | Crypto Great | Bitcoin | DeFi

​​Aave (AAVE)

Aave is a decentralized lending platform where users can earn interest on deposits and borrowing assets.

In both the January and February issues, we covered the approval of Aave’s proposal for launching Aave V3 on Arbitrum, Avalanche, Fantom, Harmony, Optimism, and Polygon. Last month, Aave V3 went from testnet to being live on the chains mentioned above. This will increase protocol usage by allowing assets to flow between Aave markets over different blockchains.

And as Aave’s usage grows, so should its token price.

Last week, a proposal passed to make a strategic investment in Balancer tokens (BAL), another token in our Palm Beach Confidential portfolio.

This investment will acquire 200,000 BAL tokens – currently worth $3 million – by exchanging AAVE from the ecosystem reserve.

The acquisition puts Aave just outside of the top 50 BAL tokens holders. Additionally, Balancer will become a top 80 AAVE token holder. Therefore, each community will collaborate to best represent their interests.

Aave will likely be one of the first movers in the upcoming BAL wars and will gain a strategic advantage to bootstrap new Balancer boosted pools which lead to tokens being deposited in Aave markets to earn yield.

This will create additional TVL (total value locked) and revenue for Aave – a major positive factor for the long-term price appreciation in Aave tokens.