Cryptocurrency-backed peer-to-peer lending platform Aave has been added to the eToro funding platform.
It’s one in all 4 new crypto-currencies which have joined the platform, bringing the entire variety of cryptoassets on eToro to 23.
In addition to Aave, eToro has added Compound, Yearn.Finance and Decentraland.
Aave coin is the most important of the brand new additions with a market cap of $5.3bn (£3.74bn). It helps the Aave protocol which trades in “flash loans” – peer-funded loans that are borrowed and repaid in fast succession with out the necessity for collateral.
In February 2021, the volume of these flash loans reached $2.2bn, producing practically $2m in charges.
Compound is an “algorithmic, autonomous rate of interest protocol” which has a market cap of roughly $4bn.
In the meantime, Yearn.Finance and Decentraland have market caps of $2.1bn and $1.3bn respectively.
“eToro’s plan this 12 months is to broaden our vary of investments so customers have as large a spread of decisions as potential obtainable to them and the chance to diversify their portfolios throughout a variety of use instances,” mentioned Doron Rosenblum, VP of enterprise options at eToro.
“With the addition of those 4 tokens we’re persevering with on that journey, and we anticipate so as to add extra tokens later this 12 months.
“As at all times, we urge traders to do their analysis. Simply as every inventory has a enterprise case, every crypto has a whitepaper that particulars its use case. Be cautious and bear in mind the essential tenets of investing; diversify and solely put money into markets and devices with which you’re acquainted.”
Earlier this 12 months, eToro added Dogecoin, Chainlink and Uniswap.