Aave area is faced with the decision to release GHO on Ethereum establishment

Aave area is faced with the decision to release GHO on Ethereum establishment

aave, a financial and loan system, recently presented its own stablecoin named GHO on the Ethereum network. Stable coins are a kind of cryptocurrency that is supposed to maintain a stable value in order to avoid fluctuations in the market. In the case of GHO, the value is bound to the US dollar, and the Aave DAO protocol controls both the sources and the demand of the stable coin.

users can shape GHO by storing collateral on the system. They also receive interest on their stored resources. The StableCoin has already successfully run through the Goerli test network without having to encounter problems.

aave recently accepted the proposal for the release of GHO on the Ethereum Mainnet in order to make the lending of the stable coin even more accessible and to generate additional profits for the Aave protocol DAO. 3% of the interest rate, which is achieved in GHO acquisitions, is passed on to the DAO Ministry of Finance. In this context, AAVE works with companies such as GHO and the flashminter Ethereum Pool Facilitator. While GHO financing is done against collateral, flash financing enables finances without collateral.

The publication of GHO is part of Aaves Efforts to improve the removal of returns and credit options for its customers. The company also plans to publish a V3 system to further optimize the performance. AAVE is one of the leading financial systems in the DEFI area with a total market value of $ 5 billion, with the V2 version $ 3.9 billion and the V3 version $ 1.95 billion.

It is important to note that this article was created exclusively for information purposes and should not be used as a legal, tax, financial or other advice.