Aave Rehashed – Aave’s Upgraded v2 Protocol Is Here

A Finnish word for “Ghost”, Aave is a decentralized finance project that seeks to increase the transparency of decentralized finance, and improve its infrastructure.

Less than a year after the launch of the popular DeFi project, the second iteration of the Aave network is here.

After hitting a market cap of over $1 billion within 6 months, Aave has now hit a new milestone – namely, reaching a total volume of $1 billion in flash loans.

Stani Kuchelov – the founder and CEO of Aave – stated that the upgrades to the Aave network are a reflection of the company’s ethos.

“The Aave Protocol took major steps toward becoming more decentralized with the handover of the Admin Keys to the community. The Aave ethos is that finance should be as you like it, and with a working governance and “Aavenomics”, the future of the protocol is in your hands.”

Upgrades to Decentralized Finance

It’s safe to say the past few weeks have not been easy for companies specializing in decentralized finance (DeFi).

Between savvy coders making millions (and even returning some) and DeFi crypto storage “jars” being cloned and emptied right under everyone’s noses, DeFi companies have proven to be less stable than otherwise hoped.

With a little luck, however, Aave v2 may be able to solve some of the issues plaguing the budding industry.

Among the many improvements to the first iteration of the Aave network are upgrades to the notorious flash loan tool – including the option to carry them out in batches, native credit delegations, the optimization of gas prices.

In order to mitigate the growing gas price for transactions taking place on the Ethereum blockchain, Aave is introducing new ways to optimize gas prices, in some cases even cutting them by half.

Another interesting feature is the tokenization of debt. On this version of Aave’s blockchain, debt is tokenized, and borrowers will receive tokens representing their debt. This feature is mainly aimed at those who use cold wallets, as it will allow them to calculate their debt positions even when far away from the internet.

However, these are only a few of the updates brought to you by Aave. You can check out the full list on the official Medium blog of the company, complete with technical details.