He is the champion of decentralized finance, his value has been multiplied by 60: Aave (LEND) would however be underestimated. The indicators point to a LEND that has yet to reveal its full potential. Uniswap could block a bigger LEND explosion, however.
A (a) ve LEND: the underrated DeFi gladiator
The DeFi boom has (naturally) had a positive impact on the price of the majority of cryptos in the sector.
Yet one of them would be underestimated according to Spencer noon, investor with DTC Personal-Financial.com : LEND protocol Aave.
Its price has registered an increase of around 5,000% since the start of this year 2020 and is trading around $ 0.486 as of this writing.
Nearly $ 440 million in flash loans were processed on the platform, a performance that propelled the latter to the top of the ranking of industry protocols, according to Defipulse.
The relationship between the market cap and the Total Value Locked (TVL) ofAave amounts to 0.6, a ratio indicating a LEND potentially undervalued: its TVL is valued at $ 1.26 billion while its market capitalization is estimated at $ 795 million.
Unlike most projects Challenge, Aave does not have an incentive in the form of liquidity mining, an additional indicator of its strength.
DeFi protocols in the shadow of UNI
Aave had recently obtained a license from the UK authorities to provide payment services. This green light from regulators had led to a sharp increase in its price.
The progression of LEND could however be eclipsed by the token UNITED of the protocol Uniswap, which allows users to participate in the platform governance process.
Analysts believe its price could increase in value very quickly, thanks to dividends from thousands of daily transactions.
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LEND is expected to lend some of its potential to declining cryptos like Bitcoin Cash. Will Crypto Meet the 10,000% Growth Challenge? We are already halfway there as LEND has yet to show everything it has under the hood. Bitcoin (BTC) bulls are way out of date – perhaps they should be replaced by horses. The arrival of UNI could speed things up even further in DeFi. DeFi projects which still have resources will have to accelerate even more to avoid falling behind.
Litecoin, welcome in the Silver Age