Aave

  • Name: Aave
  • URL: https://aave.com
  • Category: DeFi lending / non-custodial liquidity protocol
  • Tags: ethereum-ecosystem
  • Summary: Aave is the canonical onchain overcollateralized money market. The protocol matters, but so does the surrounding risk-and-governance machinery that decides listings, caps, liquidations, and incident response.
  • What it does:
    • Lets suppliers deposit assets into markets and earn yield
    • Lets borrowers access liquidity by posting overcollateralized positions
    • Exposes developer docs and integration surfaces for market data, positions, supply, and borrowing workflows
    • Operates across multiple risk configurations and market types under the Aave protocol umbrella
  • Key claims:
    • Aave docs describe it as a decentralised non-custodial liquidity protocol where users can participate as suppliers or borrowers
    • Official materials emphasize suppliers earning interest and borrowers accessing liquidity against collateral
    • The main site points to multi-year uninterrupted operation and large cumulative deposit/borrow volume as part of Aave’s credibility story
  • Whitepaper: Historical official Aave protocol whitepapers were confirmed during this pass and saved locally as:
    • ../whitepapers/aave-protocol-whitepaper-v1.pdf
    • ../whitepapers/aave-v2-whitepaper.pdf For current protocol behavior, the official docs appear to be the more relevant operational source. See ../whitepapers/aave-primary-sources-2026-04-23.md.
  • Sources:

Internal linkages

Governance / control risk

  • Aave is the protocol baseline, but the market is still steered by a thick risk-and-governance bureaucracy around the contracts. The real policy surface sits in listings, caps, liquidation parameters, delegate blocs, service providers, and front-end defaults as much as in the code itself.

  • Last reviewed: 2026-06-04 UTC