Aave (AAVE)
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Chart: TradingView Lightweight Charts™ · Data: CoinMarketCap
Aave value in USD
Conversions using the latest available price. Excludes fees and the bid-ask spread.
| AAVE amount | Value |
|---|---|
| 0.001 AAVE | $0.1556 |
| 0.01 AAVE | $1.56 |
| 0.1 AAVE | $15.56 |
| 1 AAVE | $155.62 |
| 10 AAVE | $1,556.22 |
| Budget | Estimated amount of AAVE |
|---|---|
| $100.00 | 0.64258317 AAVE |
| $500.00 | 3.21291585 AAVE |
| $1,000.00 | 6.42583170 AAVE |
| $5,000.00 | 32.12915850 AAVE |
| $10,000.00 | 64.25831699 AAVE |
Aave in brief
Aave is a decentralised lending protocol where users deposit crypto to earn interest and borrow against collateral. AAVE is the protocol’s governance token and also plays a role in its safety mechanisms.
Official source: aave.com
Safety note: download wallets and apps only from the official site, and beware of unsolicited "support" accounts and fake airdrop sites.
Where does Aave trade against the Turkish lira?
- Binance TR
- BtcTurk
- OKX TR
- Paribu
On this page 7
AAVE is the governance token of the Aave protocol. Aave is a decentralised lending protocol where users deposit crypto into pools to earn interest, while others borrow from those pools by posting collateral. Stani Kulechov founded the project in 2017 as ETHLend; it was renamed Aave in 2018 and relaunched with its pool-based model in 2020. Today it runs on Ethereum and many other networks and is one of the largest DeFi protocols.
How does Aave work?
When you deposit USDC into Aave, you receive an aToken such as aUSDC in return. Your aToken balance grows over time as interest accrues, and you can withdraw the underlying asset whenever liquidity allows. Rates are not fixed; they adjust automatically depending on how much of a pool is currently borrowed.
To borrow, you first deposit collateral and can then borrow less than its value. This over-collateralisation keeps the system safe without checking who the borrower is. A position’s safety is measured by its “health factor”. If collateral value falls and the health factor drops below 1, part of the collateral is liquidated to repay the debt. Someone who borrowed USDC against ETH, for example, needs to add collateral or repay part of the loan when ETH falls (see our guide to liquidation).
Aave also popularised the flash loan: an uncollateralised loan that must be repaid within the same transaction. If it is not repaid, the whole transaction is reverted. Flash loans are used for arbitrage, refinancing positions and similar operations.
What is the AAVE token used for?
AAVE holders vote on proposals covering new assets, collateral ratios, interest rate parameters and treasury spending, or delegate their voting power. The community that runs the protocol is known as the Aave DAO. In 2025, governance approved a programme that uses part of protocol revenue to buy back AAVE on the market.
AAVE can also be staked for protocol security. In the original Safety Module, stakers earned rewards in exchange for the risk of being slashed if the protocol ran a shortfall. Under Umbrella, introduced in 2025, specific aTokens are staked to cover bad debt instead. Simply holding AAVE does not enrol you in either programme.
AAVE supply
In October 2020, the old LEND token was migrated to AAVE at a rate of 100 LEND to 1 AAVE. Total supply is capped at 16 million AAVE: 13 million for LEND holders’ migration and 3 million for an ecosystem reserve, which governance uses for incentives and security programmes.
Key milestones
- December 2020: Aave V2 launched.
- 2022: Aave V3 added cross-network features, efficiency mode (E-Mode) and isolation mode for riskier assets.
- July 2023: GHO, Aave’s own over-collateralised stablecoin, went live.
- 2025: the Umbrella security system was rolled out.
What are the risks of Aave?
At the protocol level, the main risks are smart contract bugs, failures in the oracles that supply price data, and bad debt that can build up during sharp market crashes. For borrowers, liquidation is the biggest risk, and network congestion during sudden moves can delay a top-up of collateral. If a stablecoin you deposited loses its peg, the value of your claim falls with it.
Watch similar names, too: AAVE, aAAVE and stkAAVE are different assets. Sending one to an address that expects another can cause problems, so check the official contract address and network before transferring.
How to read the market data
The price and market cap on this page refer to the AAVE governance token. Total value locked in the protocol (TVL) and outstanding loans are not part of these figures. Because AAVE’s supply is capped, the gap between market cap and fully diluted value is small; what matters more is how much protocol revenue actually flows to token holders.
