{"id":15845,"date":"2024-08-05T16:01:46","date_gmt":"2024-08-05T13:01:46","guid":{"rendered":"https:\/\/forklog.com\/en\/aave-earns-6-million-in-a-day-amid-crypto-market-downturn\/"},"modified":"2024-08-05T16:01:46","modified_gmt":"2024-08-05T13:01:46","slug":"aave-earns-6-million-in-a-day-amid-crypto-market-downturn","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/aave-earns-6-million-in-a-day-amid-crypto-market-downturn\/","title":{"rendered":"Aave Earns $6 Million in a Day Amid Crypto Market Downturn"},"content":{"rendered":"<p>On August 5, the daily fee volume of the lending platform Aave reached $6 million, driven by the liquidation of positions worth $350 million.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Aave Protocol withstood market stress across 14 active markets on various L1s and L2s, securing $21B worth of value.<\/p>\n<p>Aave Treasury was rewarded with $6M in revenue overnight from decentralized liquidations for keeping the markets safe.<\/p>\n<p>This is why building DeFi is FTW.<\/p>\n<p>\u2014 Stani (@StaniKulechov) <a href=\"https:\/\/twitter.com\/StaniKulechov\/status\/1820369793716826140?ref_src=twsrc%5Etfw\">August 5, 2024<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cAave withstood market stress across 14 active markets on various L1 and <\/em><em>L2<\/em><em>, securing $21 billion worth of value. The protocol&#8217;s treasury received a daily income of $6 million from liquidations,\u201d<\/em> stated the platform&#8217;s founder, Stani Kulechov.<\/p>\n<\/blockquote>\n<p>For instance, the forced closure of one position in WETH worth $7.4 million brought Aave a revenue of <a href=\"https:\/\/eigenphi.io\/mev\/ethereum\/liquidation\/tx\/0x9e487295aa80ab25fab4e0b4f75ff3b59e22b4371958266d6f252a8a78f90d52\">$802,000<\/a>.<\/p>\n<p>According to <a href=\"https:\/\/www.coingecko.com\/\">CoinGecko<\/a>, Ethereum&#8217;s decline over the past 24 hours was 23.8%. The native token of the lending platform decreased by 28.5%.<\/p>\n<p>Data from <a href=\"https:\/\/parsec.fi\/dashboard\">Parsec Finance<\/a> indicates that the sell-off in the cryptocurrency derivatives market resulted in $1 billion in liquidated positions, with $350 million in DeFi protocols.<\/p>\n<p>According to <a href=\"https:\/\/defillama.com\/\">DeFi Llama<\/a>, the total value locked in decentralized finance platforms plummeted to $73.6 billion. The previous day, the figure was $88.8 billion.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/1-1137.webp\" alt=\"1-1137\" class=\"wp-image-238377\"\/><figcaption class=\"wp-element-caption\">Data: DeFi Llama.<\/figcaption><\/figure>\n<p>Earlier, ForkLog discussed with experts the reasons for the dump and explored the conditions under which major coins might begin to recover. Details can be found in the article. <\/p>\n","protected":false},"excerpt":{"rendered":"<p>On August 5, the daily fee volume of the lending platform Aave reached $6 million, driven by the liquidation of positions worth $350 million. Aave Protocol withstood market stress across 14 active markets on various L1s and L2s, securing $21B worth of value. Aave Treasury was rewarded with $6M in revenue overnight from decentralized liquidations [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":15844,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1212,1093,1097,1145],"class_list":["post-15845","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-aave","tag-defi","tag-lending","tag-market-analysis"],"aioseo_notices":[],"amp_enabled":true,"views":"12","promo_type":"","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/15845","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=15845"}],"version-history":[{"count":0,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/15845\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/15844"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=15845"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=15845"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=15845"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}