New Grayscale Aave Trust Launched to Expand Investments to DeFi

Key Points:

• Grayscale Investments has launched the Grayscale Aave Trust, offering accredited investors exposure to AAVE.
• The Aave Trust follows Grayscale’s other successful crypto products, such as the Bitcoin and Ethereum Trusts.

The largest crypto asset manager, Grayscale Investments, has announced the launch of its latest offering, the Grayscale Aave Trust.

Read more: Grayscale XRP Trust Is Now Launched for Accredited Investors 

Grayscale Aave Trust Launched for Accredited Investors

Grayscale Aave Trust offers accredited investors exposure to the governance token of the Ethereum blockchain-based DeFi platform Aave, which is centred on lending and borrowing via smart contracts sans intermediaries.

Aave’s platform enables users to borrow and lend cryptocurrency sans typical barriers with no credit scores, no ID verification, and no background checks. In their place come automated smart contracts, offering up a far friendlier alternative to the traditional systems of finance. Users get loans by setting other crypto assets as collateral, while lenders gain interest on their deposits.

The new trust is similarly structured to the firm’s other single-asset investment trusts, the popular Grayscale Bitcoin Trust and Grayscale Ethereum Trust, in that it’s designed to track specific crypto assets to attract both institutional and individual investors. Like the others, subscriptions to the Aave Trust by qualified accredited investors will be accepted daily.

Grayscale Expands Crypto Offerings with New Investment Trusts

While AAVE is presently valued at some $2.06 billion in market capitalization, the protocol has managed to be one of the hotcakes in the DeFi space due to its completely decentralized nature and automated processes. Against this backdrop, the trust was launched at a time when AAVE is reported to have the full potential of disrupting lending services away from traditional finance by bypassing the latter.

Grayscale Aave Trust has come hot on the heels of the launch of Grayscale Avalanche Trust, which tracks the AVAX token. With more than 20 crypto investment products under its wing, Grayscale has not stopped expanding its suite of crypto investment products and has remained one of the leading players in this space.