Aave Hits $40B TVL, Setting New All-Time High Amid ETH Surge

Rising cryptocurrency prices and increased user deposits contributed to Aave’s milestone, with Ether and its derivatives making up a large portion of TVL.

  • Aave reached a new all-time high of $40.3 billion in total value locked (TVL) on May 12, according to DefiLlama.
  • The price of Aave’s native token, AAVE, rose 25% in the past week, reflecting strong inflows and broader market gains.

Aave, a major platform in decentralized finance, reached a new record of funds locked on its protocol, as shown by data from DefiLlama. On May 12, Aave announced through an X post that its total value locked (TVL) surpassed $40.3 billion. TVL is the total value of cryptocurrency assets deposited into a platform’s smart contracts.

- Advertisement -

According to onchain data, Aave v3, the latest version of the protocol, holds around $40 billion of these funds. Aave lets users borrow digital assets by providing other cryptocurrencies as collateral, while lenders can earn yield from these loans.

“With these milestones, Aave is proving its dominance in the Lending Space,” wrote DeFi analyst Jonaso in a May 12 X post. Data from DefiLlama shows that Ether and its staking derivatives account for nearly half of Aave’s TVL.

In December, Aave saw a previous TVL high due to a roughly 60% increase in Ether’s price from the prior month. This recent surge is credited both to increasing crypto values and a rise in new user deposits. In terms of Ether, Aave’s TVL grew from about 6 million ETH at the start of 2025 to almost 10 million ETH by May 12. Reporting TVL in ETH, rather than USD, helps show growth without the impact of market price fluctuations.

Before the November U.S. presidential election, Ether traded below $2,500 but nearly doubled to almost $4,000 in the following month. Over the last 30 days, Ether climbed from about $1,500 to $2,500, according to Google Finance.

The price of Aave’s native AAVE token increased by roughly 25% in the last week, supported by data from CoinMarketCap. The token’s rise reflects positive sentiment in the broader cryptocurrency market and ongoing inflows into the protocol.

✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.

Previous Articles:

- Advertisement -

Latest

Circle Narrows Gap as USDC Gains Market Share on Tether’s USDT

Tether remains the top stablecoin, holding 61.5% of the $253 billion market.Circle increased its USDC issuance by 40.4% since January 2025, outpacing Tether's 13.6%...

Elon Musk’s X to Add Payments, Investments & X-Branded Cards

X plans to add financial services, including payments and investments, for its users.The platform may launch an X-branded credit or debit card in 2025.Beta...

Wrapped Bitcoin on TRON Deemphasized Amid Transparency Issues

Wrapped Bitcoin (WBTC) on the Tron blockchain remains rarely used, with only about 100 Bitcoin backing the product. Transparency about the storage of backing assets...

Prenetics Buys $20M in Bitcoin, Hires Trump-Linked Crypto Advisor

Prenetics added $20 million in Bitcoin to its corporate treasury. The company bought 187.42 BTC at an average price of $106,712 per coin using Kraken's...

1inch Integrates Sonic, Enabling Seamless DeFi Swaps and MEV Safety

1inch, a DeFi aggregator, has integrated the Sonic blockchain network.The integration allows users to swap assets on Sonic with low fees and access cross-chain...

Must Read

The 10 Best Crypto Podcasts You Can’t Miss

Table of ContentsBest Cryptocurrency Podcasts To Add To Your Playing List1. The Money Movement2. The Crypto Conversation3. The Pomp Podcast4. What Bitcoin Did5. The...