Home
News
Details

Why Bank Profitability is 10x Higher Than DeFi Lending Protocols

iconBlockTempo
Share
Share IconShare IconShare IconShare IconShare IconShare IconCopy
This is the logo of the coin.
USDC
$1.0001-0.01%
This is the logo of the coin.
USDT
----
This is the logo of the coin.
AAVE
$176.229-2.69%
On-chain data shows a dollar in banks earns 10x more profit than USDC on Aave. Most DeFi lending revenue comes from volatile collateral and stable debt strategies. Aave’s total loans top $20 billion, with borrowing mostly used for yield farming and leveraged positions. On-chain analysis reveals structural differences in profit margins between banks and DeFi. As DeFi expands into real-world assets, it may break from crypto cycles and improve returns.
Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information. Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.