Grvt Ave merged with Perp Waas for businessmen
Decentralized Perpetual Futures Exchange (perp DEX) Grvt said it has set up its Aave lending protocol to allow traders to open their derivative positions and obtain yield on margin-posted securities.
The company said Thursday that the feature is designed to reduce the opportunity cost of margin bookings that typically sit idle in commercial spaces. Perpetual futures are crypto derivatives that track asset prices and never expire.
“In most platforms, your capital only does one thing at a time,” Grvt CEO Hong Yi told Cointelegraph. “Your coins are either getting stable production or they are ready for trading but not both.” He said the integration aims to enable users to deposit once and use the same capital from active margin while earning loan returns.
The announcement comes as crypto derivatives continue to be the dominant source of payments across decentralized finance. According to data from analytics platform Defilama, DeFi protocols have generated more than $1 billion in quarterly revenue in recent times, with exchanges contributing the largest share.
At X, Defilama's head of revenue and growth Patrick Scott writes that onchain businesses are finding product-market fit.
Related: DeFi perps have blown over $1T in size so far.
Capital efficiency becomes a competitive focus.
Perpetual futures traders typically post stable coins as collateral and hold them to meet margin requirements. At launch, Grevet features USDt (USDT) collateral, which is matched 1:1 to deposits in Aave's lending pools.
“When there is liquidity, we will take their place and remove it, just like it happens with USDT,” Ye told Cointelegraph. He said funds can be withdrawn from Aave within 10 minutes for service redemptions.
Related: Aave Surpasses $1T in Loans Amid Institutional Expansion
Returns are generated based on dynamic credit markets and credit demand. Yes Grvt says it doesn't own any Aave product “as of now”, users can get both loan returns and a share of platform fees.
On Monday, Curve founder Michael Egorov argued that DeFi protocols “can't survive without real revenues,” arguing that sustainable returns should be tied to actual economic activity rather than token issuances.
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