Aerodrome has surpassed the $1 billion mark in total value locked (TVL) as deposits into the liquidity protocol soared.

Aerodrome’s Impressive Growth

Data from DeFiLlama reveals that Aerodrome, a decentralized exchange platform on the Base, saw its TVL rise by 22% in the past week to hit the landmark $1 billion. This surge has also coincided with a significant increase in the AERO price, which is up 23% in the past 24 hours and 50% in the past week, currently trading around $1.27.

Leading DEX on Ethereum Layer-2

Launched in August 2023, Aerodrome has quickly become the top decentralized exchange (DEX) platform on the Ethereum layer-2 chain, Base. Within weeks of its launch, the protocol significantly contributed to Base’s TVL surpassing $400 million. Growth has accelerated in 2024, especially after the introduction of a Base ecosystem fund in February.

As of September 27, 2024, DeFiLlama data indicated that Aerodrome Finance’s $1.02 billion TVL was the highest among all protocols on Base. Currently, Base’s TVL stands at $2.5 billion, a remarkable increase from $490 million in February 2024.

Aerodrome’s Dominance

As an automated market maker (AMM), Aerodrome facilitates a decentralized trading environment where users deposit tokens into liquidity pools. In return, users receive liquidity provider (LP) tokens.

Staking LP tokens allows users to earn AERO and the governance token, veAERO. Aerodrome’s success has led it to dominate on-chain trading volumes for pools across Ethereum, Bitcoin, USDC, and EURC.

$1 Billion in TVL ✈️ Aerodrome eclipsed $1 billion in Total Value Locked, half of Base’s total TVL, and facilitates the highest onchain trading volume pools in ETH, BTC, USDC, and EURC. Aerodrome is the economic engine of Base. Still day one.

Comparative Performance

With Aerodrome leading the charge, more than a third of Base’s TVL is locked within this DEX protocol. According to DeFiLlama, the next four highest protocols by deposits do not collectively match Aerodrome’s $1 billion TVL.

Decentralized finance protocol Aave V3 currently holds $236 million in locked assets. The DEX platform Uniswap ranks third with $222 million. Lending protocols Moonwell and Morpho Blue hold $192 million and $151 million in TVL, respectively, completing the top five.

Conclusion

Aerodrome’s rapid growth and significant market presence underscore its importance in the decentralized finance sector. With its substantial TVL and dominance in on-chain trading volumes, Aerodrome is setting a high benchmark for other protocols on the Ethereum layer-2 chain, Base.

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