Aave Overtakes Compound While YFI Surpasses $2,300 – Trustnodes

Aave Overtakes Compound While YFI Surpasses $2,300


Aave meme, July 2020

Competition in decentralized finance (defi) has intensified with the memes finally returning for the first time in three years (pictured).

Aave, the flashloan boys and lending dapp, has jumped to $570 million in locked assets, surpassing Compound’s $557 million.

It’s the first time ever that the second position has flipped after Compound flipped Maker for first position.

Maker has now retaken it with $775 million in locked asset, as much as was locked in all of defi just two months ago.

Top defi projects, July 2020
Top defi projects, July 2020

Aave and Synthetix were in a fight for third position, but Aave seems to have won for now.

While Curve and Balancer were in a tie for fifth position, but Curve seems to have gained some distance.

Both Curve and Balancer benefit from YFI, Yearn Finance, which does what they call profit switching between dapps to gain most rewards.

They say the total value locked (TVL) in Yearn Finance is close to $500 million across their ecosystem, with this not showing in the above ranking because it’s kind of the underground engine that adds utility for many of these dapps.

Yearn Finance price doubles, July 2020
Yearn Finance price doubles, July 2020

While we can’t easily see this underground, the market clearly can, doubling YFI’s value in the past 24 hours.

Whether that contributed to eth’s jump is not too clear, but ethereum is probably the gateway for many newcomers to these dapps as they run on eth.

In addition for now you can get these tokens for free through eth if you use the dapp, as well as through dai, wBTC and other assets.

So some may be thinking of making use of their parked dollars, with traditional finance probably not very aware of what is going on here as much of this is underground even to us.