In brief

Aave is a decentralized lending protocol that lets users lend or borrow cryptocurrency without going to a centralized intermediary. Users deposit digital assets into "liquidity pools," which become funds that the protocol can lend out. In July 2022, Aave's community approved the launch of GHO, a decentralized, collateralized stablecoin. Aave is a decentralized finance (DeFi) protocol that lets people lend and borrow cryptocurrencies and real-world assets (RWAs) without having to go through a centralized intermediary. When they lend, they earn interest; when they borrow, they pay interest.

Aave was originally built atop the Ethereum network, with all the tokens on the network also using the Ethereum blockchain to process transactions; they are known as ERC20 tokens. Aave has since expanded to other chains, including Avalanche, Fantom, and Harmony.

AD The protocol itself uses a decentralized autonomous organization, or DAO. That means it’s operated and governed by the people who hold—and vote with—AAVE tokens.

What is Gas Fee?

Gas fee is the fee paid to the nodes(miner) for executing smart contracts. When you transfer money on the Ethereum blockchain, the miner must pack your transaction and put it on the blockchain to complete the transaction. In this process, the nodes will consume computing resources, and they should be compensated. The gas fee depends on the complexity of the transaction. The more complicated the smart contract transaction is, the higher the Gas Fee.

Calculation of gas fees

Gas fees have different names on different trading platforms, such as Gas Fees, Transaction Fees, etc., but they all refer to transaction fees (ETH) and are calculated as the unit price of Gas (Gas Price) x the amount of Gas consumed (Gas Used).

🖋️ Methodology

• I Used

• ethereum.aave.ez_votes

• ethereum.core.fact_transactions

• ethereum.core.fact_hourly_token_prices

• date : 90 & 180 Days