EVM - 15. Avalanche Protocol or Project dashboard
this analysis is about Aave project on Avalanche
Avalanche (AVAX) is a cryptocurrency and blockchain platform that rivals Ethereum. AVAX is the native token of the Avalanche blockchain, which—like Ethereum—uses smart contracts to support a variety of blockchain projects.
The Avalanche blockchain can provide near-instant transaction finality. AVAX is used to pay transaction processing fees, secure the Avalanche network, and act as a basic unit of account among blockchains in the Avalanche network. KEY TAKEAWAYS Avalanche is a blockchain platform with the native currency AVAX. Avalanche is a competitor to Ethereum that prioritizes scalability and transaction processing speed. AVAX is used to secure the Avalanche blockchain and pay transaction fees across the network. Transaction fees and the rate of AVAX coin creation are determined using a governance model. The Avalanche blockchain reportedly can process 4,500 transactions per second. Launched in 2020, Avalanche aims to be fast, versatile, secure, affordable, and accessible. In addition, Avalanche is an open-source project, meaning anyone can view and contribute to the platform's code.
Aave is a decentralized cryptocurrency platform that allows users to borrow and lend crypto. Aave uses smart contracts to automate the process, with preset rules on how funds are distributed, how collateral is handled, and how fees are assessed.
Aave specializes in overcollateralized loans, meaning that users will need to deposit crypto worth more than the amount that they wish to borrow. This protects lenders from losing money due to loan defaults and allows the Aave protocol to liquidate the collateral if it drops too much in value.
Aave also offers a native crypto token (AAVE) that can be traded on most exchanges or staked in the Aave platform to earn interest. Staking is how crypto miners earn rewards for validating transactions on a proof-of-stake blockchain like the one that underlies Aave. 1
KEY TAKEAWAYS Aave is a decentralized crypto lending platform. Aave requires collateral, as users will need to deposit crypto to borrow. Aave offers a native token (AAVE) that can earn interest through staking. Aave borrowers risk liquidation of collateral if the value of that collateral drops too far.
Aave is an Ethereum-based protocol that offers automated crypto loans. Users can deposit cryptocurrency as collateral and borrow other cryptocurrencies, up to a certain percentage of the collateral value. This is known as the loan-to-value (LTV), and Aave limits the borrowed amount to 80% of the current value of the pledged collateral.
Aave uses smart contracts, which are programs that automate the borrowing process by calculating the loan terms, collecting the deposited collateral, and distributing the cryptocurrency being borrowed.
Smart contracts are what enable Aave to operate without the need for a third-party intermediary.
For lenders, Aave allows users to deposit crypto into the platform and earn interest that is paid out by the borrowers.
Instead of matching lenders and borrowers directly, Aave offers liquidity pools into which users can deposit crypto assets, and those crypto assets are lent to borrowers. 3
in this analysis we will take a look at Aave project on Avalanche to see how this project behaved during recent years. and also we will put minting, transafers, swaps, and approvals under consideration using decoded event logs and grabing most of the datas from json column.