Spencer Noon, head of investments at DTC Capital, says a number of metrics indicate a DeFi asset is one of the most undervalued in all of crypto.
Noon notes that the Aave protocol is currently logging its all-time highs in terms of outstanding debt and unique lenders per day. It has also logged $440 million in flash loan volume. Flash loans let developers borrow without putting up collateral.
LEND, Aave’s governance token, is the 26th biggest cryptocurrency by market capitalization, according to CoinMarketCap. It’s trading around $0.61 at time of writing.
Aave is a decentralized money market protocol built on Ethereum. It enables depositors to derive interest from contributing liquidity to lending pools, and borrowers can rely on those pools to procure over-collateralized loans.
– ATHs outstanding debt
– ATHs unique lenders/day
– $440M flash loan vol
– Largest protocol @defipulse
– 0.6 Mcap/TVL