Aave (AAVE) is a governance token operating with the ERC-20 standard. It is operated with the Aave Protocol wherein users are able to lend or borrow from decentralized lending pools; the pools operate with digital coins that are traded back as AAVE coins.
Essential details:
- The founder of the Aave Protocol had the initial desire to also allow users to be able to provide proposals by holding the AAVE coin, a Governance Token. In detail, users would be able to govern the system through proposals on various systematic tweaks and additions
- digital coins traded must only be on the Ethereum platform
- The Aave platform is also adept in creations of Flash loans. A flash loan is a variation of loans that does not require an input of collateral
- Maximum supply of 16,000,000 AAVE
Interesting facts about AAVE?
- AAVE has a set of algorithms that automatically control the supply-based fee rates in the system
Whitepaper: https://whitepaper.io/document/533/aave-whitepaper