# Aave

> Savings for Everyone

Aave is a decentralized lending protocol. It lets users supply crypto assets to earn interest and borrow against collateral through non-custodial liquidity markets.

Aave is a decentralized lending protocol that runs non-custodial liquidity markets for supplying, borrowing, and swapping digital assets. Suppliers deposit assets into shared pools to earn yield, while borrowers post overcollateralized positions to draw liquidity, with parameters set through onchain governance. The protocol serves individual users, developers, and institutions seeking programmable access to onchain credit.

The protocol addresses the need for permissionless, transparent alternatives to intermediated lending by using publicly auditable smart contracts deployed across multiple blockchains. Positions and rates adjust algorithmically based on market conditions, and code changes are approved through a governance process before deployment. Aave publishes its contract code for public review and has been subject to independent security assessments.

Its offering spans a consumer savings and borrowing app, a professional trading and lending interface built on its latest protocol version, and GHO, its native overcollateralized stablecoin paired with an onchain savings layer. Additional components include isolated and collateral-specific markets, developer tooling for embedding lending and yield features into third-party products, and infrastructure aimed at institutional users. It is used by individual savers and borrowers, developers integrating onchain credit into other applications, and institutions exploring programmable finance.

- Type: Protocol
- Sector: Finance
- Status: Active
- Founded: 2017-05-01
- Profile: https://thegrid.id/profiles/aave

## Products

- [Aave Protocol](https://thegrid.id/profiles/aave): Aave Protocol is a decentralised borrowing and lending system that lets users supply digital assets to shared liquidity pools and borrow against posted collateral. Interest rates adjust algorithmically based on pool utilization, and isolated markets grouped under liquidity hubs let suppliers and borrowers choose risk profiles suited to different collateral types. The protocol also supports flash loans, credit delegation, and onchain governance-controlled risk parameters across multiple blockchain networks. (Decentralised Borrowing & Lending, Live, Main Product)
- [Aave Pro](https://thegrid.id/profiles/aave): Aave Pro is the interface for Aave's modular V4 lending markets, letting users supply collateral, borrow, and manage positions across separate risk-adjusted markets grouped under shared liquidity hubs. Borrow rates adjust automatically to collateral quality, and liquidations restore only the amount needed to reach a target health factor rather than closing entire positions. The interface also includes a token swap feature that lets users rebalance collateral or debt directly within the protocol without an external exchange. (Decentralised Borrowing & Lending, Live)
- [Aave App](https://thegrid.id/profiles/aave): Aave App is a consumer savings application that lets users deposit funds to earn yield sourced from open lending markets, with balances growing continuously and available for withdrawal at any time without fees. Users can boost their base rate through actions such as referrals, recurring contributions, or identity verification. The app is available on iOS through early access, with an Android and web version in development. (Savings & Yield, Early access)
- [Stable Vaults](https://thegrid.id/profiles/aave): Stable Vaults is an embedded-yield infrastructure product that lets fintechs and other businesses offer stable-rate stablecoin earning within their own products through an integration layer rather than a website in isolation. The system locks a rate at deposit that compounds continuously while liquidity is allocated across multiple protocols and blockchains beneath a stable-rate layer, absorbing underlying market rate volatility. It supports multi-asset deposits and withdrawals, per-user rate assignment, and cross-chain accounting so partner businesses can embed the yield experience into existing product flows. (Yield Aggregator, Live)
- [Aave Kit](https://thegrid.id/profiles/aave): Aave Kit is a developer toolkit that provides permissionless programmatic access to Aave's onchain liquidity, letting developers integrate supply, borrow, and yield functionality into their own applications with a small amount of code. It exposes hooks for adding yield, unlocking borrowing against a user's holdings, and previewing health factor and risk premium before a transaction is signed. The toolkit works across multiple blockchain networks through a single integration rather than requiring separate implementations per chain. (Developer Tooling, Live)
- [Aave Institutional Credit](https://thegrid.id/profiles/aave): Aave Institutional Credit is a bilateral lending service that provides institutional counterparties with loans against crypto and traditional finance collateral, held with a qualified regulated custodian rather than in a shared onchain pool. Rate, term, and loan-to-value are individually underwritten and settlement occurs in stablecoins, with real-time collateral monitoring and defined margin-call cure windows. The service is aimed at institutional borrowers and lenders seeking a minimum loan size, with a dedicated credit officer assigned to each loan. (Centralised Borrowing & Lending, Live)

## Assets

- [Aave (AAVE)](https://thegrid.id/profiles/aave): AAVE is the governance token of Aave Protocol. It is used to vote on protocol upgrades, propose changes, and stake in the Safety Module to secure the protocol in exchange for rewards and discounts on GHO stablecoin borrowing fees. Holders can participate in governance to shape the protocol's development across multiple blockchains where Aave operates. (Governance)
- [GHO Token (GHO)](https://thegrid.id/profiles/aave): GHO is a USD-pegged stablecoin native to the Aave Protocol. It is minted by users who supply collateral to Aave, allowing them to continue earning interest on their underlying assets while borrowing GHO. Interest payments from borrowers and reserve yield flow into the Aave DAO treasury and fund the savings rate paid to GHO's savings vault. (Stablecoin)
- [sGHO (SGHO)](https://thegrid.id/profiles/aave): sGHO is a vault token representing GHO deposited into Aave's onchain savings vault. It is minted when users deposit GHO and accrues value over time as it pays out the Aave Savings Rate, funded by GHO borrower interest and reserve yield, without lockups or cooldowns. The vault follows the ERC-4626 standard, allowing sGHO balances to compound automatically and integrate directly with other DeFi protocols. (Vault Tokens)

## Links

- [Main](https://aave.com)
- [Whitepaper](https://github.com/aave/aave-v3-core/blob/master/techpaper/Aave_V3_Technical_Paper.pdf)
- [Governance](https://governance.aave.com)
- [Documentation](https://aave.com/docs)
- [Blog](https://avara.xyz/blog)
- [Media Kit/branding](https://aave.com/brand)
- [Terms of Service](https://aave.com/terms-of-service)
- [Privacy policy](https://aave.com/privacy-policy)
- [GitHub](https://github.com/aave)
- [Twitter / X](https://x.com/aave)
- [LinkedIn](https://www.linkedin.com/company/aavelabs)
- [TikTok](https://www.tiktok.com/@aavelabs)
- [Instagram](https://www.instagram.com/aave)

## Relationships

- [Lens](https://thegrid.id/profiles/lens): Subsidiary

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