During the last 24 hours, Aave’s LEND token reached a new all-time high after increasing by 30% from USD 0.59 to USD 0.77. The strong upward movement occurs when Bitcoin (BTC) and most altcoins are in the red, losing their momentum as the US dollar recovers.
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The most recent run seems to be driven by the news that DeFi’s (Decentralized Finance) credit and loan protocol received an Electronic Money Institution (EMI) license from the UK’s Financial Conduct Authority (FCA). This allows Aave’s parent company, Aave Limited, to “issue electronic money (e-money) and offer payment services”.
Currently, Aave users can lend or borrow digital assets without the involvement of third parties. LEND is a governance token that allows its holders to vote on future and platform-specific changes related to their ecosystem.
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While LEND only provides voting rights at this time, more features can be added if users vote for them.
Aave continues to move forward by leaps and bounds
According to Aave’s CEO, Stani Kulechov, the FCA approval is in line with the Bitcoin Loophole company’s future plans for the protocol and will help attract new partners to the ecosystem.
However, other relevant news about Aave have also circulated during the last months, which explains why LEND has grown almost 5,000% since the beginning of 2020.
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The company recently launched its Aavenomics proposal, which, if approved by token holders, will bring many changes such as the addition of rewards for LEND holders.
In addition, Defi Pulse data shows that the Aave protocol recently reached $1.44 billion in total blocked value (TLV) and also surpassed Maker, which has $1.42 billion in blocked assets.
In private comments, Aave COO Jordan Lazaro Gustave told Cointelegraph that new features will soon be coming to Aave. Gustave said:
“Aave will also make credit delegation possible, where part A can delegate its credit line to part B, which can borrow with it. All this will be possible thanks to a legal agreement through OpenLaw. For example, a credit delegator could be a party that wants to accumulate more credit and the borrower could be a company, NGO, government, institution, etc”.