Cryptocurrency news

Aave earned $6 million in liquidations per day due to the fall of the crypto market

Forklog / 05.08.2024 / 13:08
Aave earned $6 million in liquidations per day due to the fall of the crypto market

On August 5, the daily commission volume of the Aave landing platform reached $6 million. A similar result was achieved due to the liquidation of positions worth $350 million.

Aave Protocol withstood market stress across 14 active markets on various L1s and L2s, securing $21B worth of value.

Aave Treasury was rewarded with $6M in revenue overnight from decentralized liquidations for keeping the markets safe.

This is why building DeFi is FTW.

— Stani (@StaniKulechov) August 5, 2024

"Aave withstood market stress in 14 active markets on various L1 and L2, securing $21 billion in value. The Treasury of the protocol received a daily income of $ 6 million from liquidations," said the founder of the platform, Stani Kulechov.

For example, the forced closure of one of them in WETH for $7.4 million brought Aave revenue of $802,000.

According to CoinGecko, Ethereum's drop in the last 24 hours was 23.8%. The native token of the landing platform fell in price by 28.5%.

According to Parsec Finance, as a result of the sale in the cryptocurrency derivatives market, positions worth $1 billion were eliminated, and $350 million in DeFi protocols.

According to DeFi Llama, the total amount of blocked value on decentralized finance platforms has collapsed to $73.6 billion. A day earlier, the figure was $88.8 billion.

Data: DeFi Llama.

Recall that ForkLog discussed with experts the reasons for the dump and found out the conditions under which the main coins will begin to recover the price. Read the details in the article. 

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