Aave is a crypto market based on Ethereum, which allows users to borrow and lend various digital assets from stablecoins to Altcoins. In November 2017, Stani Kulechov led a development team to launch ETHLend in the form of Initial Coin Offering (ICO).
ETHLend is a decentralized p2p lending platform that allows people around the world to obtain loans or become lenders. As a decentralized platform, using blockchain technology, they can enable you to obtain loans or financing in a safe way in a few minutes. Since its first release, many functions have been added, such as Bitcoin as collateral, crowdfunding, partial collateral calls, new tokens, such as stablecoins, more than 150 + ERC20 collateral and more.
In September 2018, ETHLend was renamed Aave, "Aave" is a Finnish word, which means "ghost". "Ghost" represents Aave's efforts to create a transparent and open infrastructure for decentralized finance. Aave is headquartered in London, UK, and consists of 18 innovative and creative industry leaders.
How does Aave (AAVE) Work?
Aave works on the Ethereum network using smart contract technology. These contracts are automatically executed and use blockchain technology to ensure higher security. In this agreement, there are usually two parts: lender and borrower.
For lenders, it works as follows:
Aave allows you to borrow up to 17 cryptocurrencies. Interest is paid by aTokens and AAVEs.
For the borrower:
If you own Ether, Bitcoin or other tokens and need a loan, Aave can meet your requirements. Without the bureaucratic red “tape”, it is easy to obtain a loan without using it as collateral to sell your valuable assets.
What is Aave (AAVE)?
Aave is a decentralized protocol that provides liquidity to the market. What does this mean? You can borrow stablecoins, Ether or Bitcoin marked on the blockchain. By reducing the traditional intermediaries in the banking sector, Aave provides a great opportunity for those who need money or want to obtain higher income when lending.
Aave (AAVE) Crypto Wallet
In addition to placing AAVE in the Gate.io exchange to facilitate trading, AAVE can also be placed in a crypto wallet.
Aave wallet is a wallet that can store and manage AAVE cryptocurrency. There are a variety of Aave wallets that allow you to store, lend, buy, sell or collateralize AAVE.
Each Aave wallet works differently. Some wallets let you control your private key, while others manage them for you. In the final analysis, the wallet only helps you interact with the blockchain, which is how it works at the most basic level. Everything else is a question of which wallet you choose.
Aave hardware wallet is the ideal choice for long-term storage of cryptocurrency assets. Ideally, you want to keep some on your mobile phone or online wallet for payment, transaction and collateralization, while securely storing the rest in a secure hardware wallet. Ledger series hardware wallets are very popular and recommended by most advanced cryptocurrency users. Trezor is another brand worth mentioning.
In addition, in the Aave ecosystem, the recommended wallets include Argent, Frame, Trust Wallet and Gnosis for reference.