Aave eyes bigger 2025 after net deposits hit all-time high

Aave, the leading decentralized finance protocol, has witnessed a remarkable year amidst a number of major milestones.

But the Aave (AAVE) protocol, which offers a non-custodial platform that allows users to earn interest on their deposits and loan assets, is expecting an even “bigger” year in 2025.

The DeFi giant shared the outlook in its year-end review of X and highlighted major milestones such as the launch of Aave 2030 and V4. The V4 offering looks at Aave’s strategic evolution across DeFi with enhanced modularity, reduced governance burden, capital efficiency and innovative liquidity offerings.

Aave aims to strengthen its position with these future applications.

The goal is to build on a year in which Aave opened new markets and broke records, with the protocol’s total value locked reaching an all-time high. In fact, TVL took off as net deposits reached $35 billion, and new markets included Aave DAO’s expansion into Scroll, BNB Chain, ZKSync Era, and Ether.fi. The total value of the new markets was 2.55 billion dollars.

In 2025, more than six new chains will be added to the Aave DAO governance attestation; Current offerings include targeted integrations with Sonic, Mantle, Linea, Botanix Labs’ Spider Chain, and Aptos.

Also poised to see significant impetus for further growth, GHO is the decentralized, over-collateralized stablecoin native to the Aave protocol. The project has plans for cross-chain expansion following its launch on Arbitrum in 2024. In the coming months, GHO will attempt to go live on Base and Avalanche.

In the markets, the price of the Aave token has risen to highs of $385 in the last 12 months; this was a peak last seen in September 2021. While AAVE has pared back its recent gains, the DeFi token’s current price is up more than 183% recently. Over the past year, it has retreated nearly 52% from the all-time high of $661 reached in May 2021.

Disclosure: This article does not constitute investment advice. The content and materials on this page are for educational purposes only.

Leave a Reply

Your email address will not be published. Required fields are marked *