Aave (LEND) Is The 1st ETH DeFi Token To Hit $1bn In Valuation

The Aave LEND altcoin is one of the DeFi tokens that is seeing a bright year – the coin recently hit a $1 billion valuation. While a year or two ago no one would have predicted a rise like this for the DeFi space, LEND is now shining and there are many crypto assets that are representing the world of decentralized finance well.

The truth is, the innovation, better education, search for yields, and more made DeFi become mainstream in the crypto marketplace. The LEND token by Aave cemented the trend just the other day, when it became the first asset tied to the space to reach $1 billion in valuation.

As the ETH news show, Aave (LEND) was a project on the decline and 12 months ago, LEND was trading at around $0.01. However, a strong rebound in the product with the rollout of Aave made the project surge. According to data, LEND currently surmounted a market cap of around $1 billion.

Ryan Watkins of Messari noted that this makes Aave (LEND) the “first DeFi asset to break into the club” of crypto assets with a market cap which is greater than $1 billion. However, there are a number of other DeFi altcoins which are close to surmounting the pivotal $1 billion milestone. Right now, the list includes OMG Network (DeFi focus, not DeFi exclusive), Maker, and Synthetix Network Token.

There are 27 cryptoassets with a market cap greater than $1 billion.

Today $LEND became the first DeFi asset to break into this club.

Expect it won’t be the last.https://t.co/Iznlq9l1uO

— Ryan Watkins (@RyanWatkins_) August 26, 2020

DTC Capital’s Spencer Noon remarked on the matter and said:

“One of the best signals of PMF in #DeFi is if a project can succeed w/o extra incentives (liquidity mining). @AaveAave doesn’t have LM yet it’s still one of the biggest beneficiaries of new yield farming activity. At $1.26B TVL and only $759M mcap—the fundamentals are so strong.”

So, it is clear that the strength in the price of this ETH-based asset has been attributed to Aave’s ability to find a product market fit. With the rallying price of the coin and the increasing support on Crypto Twitter, even the CEO of BitMEX (who calls ETH a “sh*tcoin”) said that he acquired a position in LEND.

#DeFi portfolio update: Winners ($DOT, $YFI), Losers ($YAM, $LINK), New Positions ($LEND).

— Arthur Hayes (@CryptoHayes) August 26, 2020

We are hoping to see more updates from Aave and predict the direction in which LEND will go in the near future. According to many, there is a lot more to come.