Aave Approaches $1 Billion in TVL, ChainLink Represents 20%

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Many DeFi platforms have noted a recent influx of money in recent weeks. Aave is certainly rising the ranks, thanks to some interesting changes. ChainLink is now the top asset in terms of market size. 

Aave is Approaching $1 Billion

It is commendable to see some more DeFi platforms get closer to this major milestone. After all, the dominance of Maker and Compound has gone on for quite some time already.  It is time for more competition to emerge, as this will be beneficial to the broader DeFi industry

Although Aave had a strong initial start, it has taken some time to reach $900 million in assets. With the growing competition of platforms and services, that is not entirely abnormal. Everyone is chasing the pumps such as YAM, whereas the rest is taking the slow and steady approach first and foremost. 

CryptoMode Aave Growth

For Aave, the influx of new funds has certainly proven interesting. Ever since the platform enabled support for ChainLink, the platform has reached a new level. With nearly $200m worth of LINK in market size, things are certainly looking interesting.  It is not the most popular asset to borrow, but these rankings will keep shifting around regardless. 

A Stablecoin Palooza

Looking at the different assets used on platforms like Aave, the popularity of stablecoins becomes all the more apparent. No fewer than 6 different pegged currencies can be used on Aave right now. 

USDC Remains the most popular option in terms of market size. It is well ahead of USDT and TUSD. The ever-popular DAI has just $33.83m in market size, with BUSD not even coming close to $1 million. Last but not least, the sUSD option sits at just over $580,000. 

All of these stablecoins can bring extra liquidity to Aave as a whole. Which of them will be responsible for the push to $1 billion, is difficult to predict. The extra liquidity may come from an entirely different angle as well. 

Overall DeFi Growth

It seems as if an extra billion worth of assets is added to DeFi every single week. For an industry mainly ignored until late June, things have certainly gone in an interesting direction. Rising from just over $1 billion to $5.34 billion in just two months is astonishing. 

CryptoMode DeFi Growth

This rate of growth will not decrease either. Both Curve Finance and Yearn.finance have noted an increase in AUM of over 157% in the past 24 hours. While such numbers are relatively unheard of, it is evident that this industry still hasn’t reached its limit.  

The big concern is what happens once major platforms start to crumble under their own success, Noting such strong growth is impressive, but hardly sustainable. Fishing in the same pool for a piece of the Ethereum pool is not necessarily the best business approach. 


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