In this post, I will discuss the details of Aavenomics. This is a continuation from my previous post on the AAVE protocol.
Disclaimer: The information provided here is accurate at the point of writing. It is strictly my personal opinion and should not be regarded as investment advice. Please do your own due diligence. I currently have a long position on AAVE.
Some background info, the native token of AAVE was originally LEND. However, the issue with LEND was that it lacked use case and there was nothing much you can do with it other than LP-ing it for some random yield farming opportunities. Holders mostly collateralize them on AAVE protocol to borrow other tokens.
LEND 1Y price chart, screenshot from CoinGecko
Today, majority of LEND have migrated to the new native token, AAVE which will be the first step towards further decentralization of AAVE protocol.
What is Aavenomics?
Aavenomics is the token economics (or tokenomics for short) of the redesigned ...