Aave Secures $3 Million in OTC Funding on July 15, 2020

According to media reports, the DeFi lending protocol Aave received $3 million in over-the-counter (OTC) funding on July 15, 2020. The investment was provided by Framework Ventures and Three Arrows Capital. Following this round, Aave’s cumulative fundraising total reached $48.7 million.Aave is a decentralized finance lending protocol that enables users to participate as either depositors or borrowers. Depositors earn passive income by providing liquidity to the market, while borrowers can access loans through overcollateralized (perpetual) or uncollateralized (single-block liquidity) mechanisms. The AAVE token serves as the governance core of the protocol, allowing users to vote on and make decisions regarding Aave Improvement Proposals (AIPs). Additionally, AAVE can be staked within the protocol’s Safety Module, providing security for both the protocol and depositors. Stakers receive staking rewards and protocol fees as compensation.Notably, Aave has achieved significant development in recent years. Since raising $16.2 million through its ICO in 2017, the project has continued to innovate. In January 2020, Aave officially launched on mainnet. In 2023, Aave introduced its native stablecoin GHO on the Ethereum mainnet and completed deployment of its V3 version, demonstrating sustained innovation within the DeFi sector. Multiple major exchanges now support trading of the AAVE token, further enhancing the project’s liquidity and accessibility.