Details of Aave's Credit Delegation system is out.
This is a game changer that will likely supercharge its TVL growth further in the near term.
This is a game changer that will likely supercharge its TVL growth further in the near term.
Aave's TVL doubled in the past month and quadrupled in the past 3 months even without Credit Delegation.
Consider what its TVL will be in 3 months with CD. I think it triples from here at least.
Consider what its TVL will be in 3 months with CD. I think it triples from here at least.
From a valuation perspective, with TVL at $450M, that implies Aave's F.D. Mkt Cap/TVL at 0.55X, lower than any of the major DeFi tokens out there.
Assuming a conservative target Mkt Cap/TVL ratio of 1X, that implies >80% upside.
Assuming a conservative target Mkt Cap/TVL ratio of 1X, that implies >80% upside.
Even if CD was a total flop, Aave's TVL should easily double in 3 months based on organic growth, implying F.D. Mkt Cap/TVL at 0.84X, which still implies modest upside from current levels.
