Aave plans to expand into traditional assets and enter the securities lending market

Aave founder Stani Kulechov posted that Aave is expanding its business boundaries from crypto assets to traditional assets, launching securities collateral loans and securities lending services.

Aave executive Luigi D'Onorio DeMeo pointed out that the global securities lending market has a borrowing scale of approximately $4.6 trillion and annual revenue of about $35 billion, but most of the profits are captured by brokers and platforms (such as Robinhood, Schwab), and users typically only receive a small percentage of the lending fees.

Aave plans to allow users to directly tokenize stocks (such as AAPL, TSLA) on-chain as collateral or lending assets through V4, earning the full lending rate, and providing advantages such as real-time transparent pricing, no re-collateralization, and no intermediary cuts, in order to compete for market share in the traditional securities lending market.