Over the past week, the native coin of the Aave DeFi protocol (AAVE) has gained 9%, reaching $104. The increase occurred after the proposal to "switch commissions" and other economic updates.
The 15-minute AAVE/USDT chart of the Binance exchange. Data: TradingView.On July 25, the founder of the Aave Chan Initiative (ACI), Mark Zeller, launched a "temperature check" for a new platform management initiative that involves the redistribution of transaction fees.
The Purchase and Distribution component of the update is designed to use the protocol's commission income to purchase AAVE on the secondary market.
"The difference in user experience compared to the current situation is insignificant or non-existent, but from the point of view of Aave sustainability, this is a paradigm shift. The new system will also ensure a constant demand for the asset. It is proposed to finance this program from the net excess income of the protocol," the proposal says.
After the publication of the "temperature check", the capitalization of the coin jumped from $1.3 billion to $1.5 billion. At the time of writing, the figure is $1.55 billion. The total value of assets blocked on the leading landing platform exceeds $36 billion.
The growth of metrics coincided with the overall positive dynamics of the crypto market, but the subsequent correction demonstrated the stability of AAVE.
On July 29, the Aave Labs team announced that DAO had approved the third version of the pool for the Lido staking platform, which uses stETH and wstETH.
The Aave DAO just approved a V3 pool designed specifically for @LidoFinance stETH and wstETH.
This new Lido pool is the first custom deployment on Aave V3, showcasing the protocol’s versatility and capability to optimize specific use cases. pic.twitter.com/sd2pNJJ6ZZ
"The new Lido pool is the first custom deployment on Aave v3, demonstrating the versatility of the protocol and its ability to optimize specific use cases," the team said.
The solution allows the protocol to "optimize the dynamics of ETH borrowing by adjusting the collateral and interest rate parameters in an isolated market," Aave Labs stressed.
Recall that in early July, the decentralized autonomous organization behind the development of the Aave DeFi protocol released the GHO stablecoin on the L2 network of the Arbitrum solution.
Earlier, the developers presented a roadmap for the fourth version of the protocol. The latter is supposed to be built on a "completely new architecture".