Stani Kulechov, founder and CEO of Aave, comes onto the show to discuss the lending protocol and second-biggest DeFi project by total value locked. Here are some of the highlights:
- How Stani’s background studying law and his passion for fintech led him to the world of smart contracts (1:53)
- Why he decided to transition ETHLend to Aave, and how that eliminated the “meme” narrative (5:55)
- How Stani would explain Aave to a five-year-old, or your normie friend (9:04)
- What new features were released in Aave v2 (15:54)
-
- reducing overall gas costs
- aTokens
- swapping collateral
- debt tokens
- What Aavenomics is and how the “safety module” attempts to keep the protocol secure (20:39)
-
- How AAVE works as a governance token
- Active versus passive risk in governance staking
- How Aave is transitioning from a centralized to a decentralized protocol (25:01)
-
- what he’s finding difficult about this process
- issues with voting and an over-reliance on the Aave team
- delegating voting power to what he calls “protocol politicians” and whether this is good or bad for DeFi
- Who is using Aave and how they are using it? (37:27)
-
- what OpenLaw is and how OpenLaw contracts work
- how credit delegation, or unsecured loans enforced by law, differ in v2 vs V1
- how people could use lending protocols to build credit
- What Aave plans to do with the E-Money (EMI) license it obtained in the UK (50:51)
- Since Aave was a pioneer in flash loans, which are responsible for the majority of DeFi attacks, whether Stani would do anything differently (53:12)
- Aave’s partnership with tokenized real estate project RealT and how Aave manages it given that, in the US, RealT tokens are securities and can only be sold to accredited investors (58:42)
- How Aave has been thinking about scaling given the high fees on Ethereum (1:03:57)
- Why building a moat in DeFi is impossible (1:07:16)
- What is next for Aave (1:11:40)
Thank you to our sponsors!
Crypto.com: https://crypto.com/
Episode links:
Stani Kulechov: https://twitter.com/StaniKulechov
Aave: https://aave.com
Aave stats: https://aavewatch.com
Protocols mentioned
- ETHLend: https://www.prnewswire.com/news-releases/ethlend-announces-launch-of-new-parent-company-aave-300713825.html
- Aavegotchi: https://www.coindesk.com/defi-game-aavegotchi-preps-for-jan-4-mainnet-launch-with-nft-auctions
- RealT: https://medium.com/aave/realt-market-coming-to-the-aave-protocol-da4499a1e965
- Yearn: https://yearn.finance/
- Uniswap: https://uniswap.org/
- Sushiswap: https://sushiswap.fi/
- Kyber: http://kyber.network/
- Balancer: https://balancer.finance/
- $LINK: https://chain.link/
Aavenomics
- Aave’s documentation: https://docs.aave.com/aavenomics/
- Safety Module: https://docs.aave.com/aavenomics/safety-module
- Summary: https://aave.com/aavenomics/
- More background: https://defirate.com/aavenomics-upgrade/
Decentralization concepts
- Handing off admin keys: https://decrypt.co/46544/aave-officially-hands-over-governance-keys-to-defi-community + https://medium.com/aave/aave-admin-key-handover-3e09e603d348
- OpenLaw: https://www.openlaw.io/
- Protocol Governance: https://www.theblockcrypto.com/linked/73336/defi-lending-aave-token + https://docs.aave.com/developers/protocol-governance/governance
Other topics
- Electronic Money Licence: https://www.theblockcrypto.com/post/75845/aave-uk-fca-emi-license-defi
- Unsecured Loans: https://www.theblockcrypto.com/post/70678/aave-launches-new-service-for-unsecured-peer-to-peer-loans-on-ethereum
- Flash Loans: https://www.theblockcrypto.com/genesis/93740/flash-loans-as-a-capital-boost-tool
Aave Version 2: https://medium.com/aave/the-aave-protocol-v2-f06f299cee04 + https://github.com/aave/protocol-v2/blob/master/aave-v2-whitepaper.pdf
Learn more about your ad choices. Visit megaphone.fm/adchoices
- SEO Powered Content & PR Distribution. Get Amplified Today.
- PlatoData.Network Vertical Generative Ai. Empower Yourself. Access Here.
- PlatoAiStream. Web3 Intelligence. Knowledge Amplified. Access Here.
- PlatoESG. Automotive / EVs, Carbon, CleanTech, Energy, Environment, Solar, Waste Management. Access Here.
- BlockOffsets. Modernizing Environmental Offset Ownership. Access Here.
- Source: https://unchainedpodcast.com/stani-kulechov-on-why-aave-is-so-successful/
- :has
- :is
- 07
- 1
- 11
- 12
- 15%
- 16
- 20
- 25
- 27
- 39
- 40
- 50
- 51
- 9
- a
- aave
- About
- accredited
- Ad
- admin
- an
- and
- anything
- ARE
- AS
- Attacks
- Attempts
- background
- Bad
- BE
- been
- blockchain
- build
- Building
- by
- Calls
- CAN
- centralized
- ceo
- choices
- Coindesk
- comes
- contracts
- could
- credit
- decentralized
- decided
- DeFi
- delegation
- differ
- difficult
- discuss
- do
- documentation
- e-Money
- eliminated
- estate
- ethereum
- Explain
- Features
- Fees
- finding
- fintech
- Flash
- flash loans
- For
- founder
- Founder and CEO
- friend
- from
- GAS
- given
- good
- governance
- he
- here
- High
- highlights
- him
- his
- How
- HTML
- http
- HTTPS
- impossible
- in
- Investors
- IT
- Keep
- keys
- Law
- Led
- lending
- lending protocol
- Licence
- License
- links
- Loans
- locked
- Majority
- manages
- module
- money
- more
- NARRATIVE
- New
- New Features
- next
- obtained
- of
- off
- on
- only
- or
- our
- overall
- Partnership
- passion
- passive
- People
- pioneer
- plans
- plato
- Plato Data Intelligence
- PlatoAiCast
- PlatoData
- podcast
- power
- PRNewswire
- project
- protocol
- protocols
- real
- real estate
- released
- responsible
- Risk
- s
- scaling
- secure
- Securities
- show
- smart
- Smart Contracts
- So
- sold
- some
- stats
- Studying
- successful
- that
- The
- the UK
- the world
- they
- Thinking
- this
- to
- tokenized
- Tokenized Real Estate
- Tokens
- Total
- total value locked
- transition
- transitioning
- Uk
- Unchained
- unsecured
- us
- use
- using
- value
- version
- Versus
- Visit
- Voting
- vs
- was
- Web3
- were
- What
- whether
- which
- why
- with
- works
- world
- would
- you
- Your
- zephyrnet