In the fast-paced world of crypto, big shifts happen overnight, and recently, Aave made headlines by overtaking Circle to become the second-largest crypto business by Total Value Locked (TVL). If you're new to the term, TVL refers to the total amount of assets deposited into a protocol—think of it as a measure of how much trust and capital users are putting into a platform.

According to a recent tweet from Token Terminal, Aave now hosts over $65 billion in user assets, trailing only behind Tether. This milestone highlights the growing dominance of decentralized finance (DeFi) protocols like Aave, which allow users to lend and borrow crypto without intermediaries.

The chart shared in the tweet paints a clear picture: Aave's TVL has been on a steady climb, surpassing Circle's in recent months. Circle, known for issuing the USDC stablecoin, has long been a heavyweight in the stablecoin arena, but Aave's lending and borrowing features are drawing in massive liquidity.

For meme token holders and traders, this is particularly exciting. Aave's platform supports a wide range of assets, and while it may not directly list every viral meme coin, it plays a crucial role in the ecosystem. Many meme enthusiasts use Aave to borrow against their holdings—say, depositing stablecoins to borrow ETH, which they then swap for hot meme tokens like PEPE or DOGE on decentralized exchanges. This leverage can amplify gains during meme rallies, but remember, it comes with risks like liquidation if prices drop.

Moreover, as DeFi grows, it creates more opportunities for meme projects to integrate with protocols like Aave. We've seen meme communities experiment with liquidity pools and yield farming, often bridging to Aave for better rates. With Aave's TVL hitting these heights, it signals stronger infrastructure for the entire crypto space, including the wild world of memes.

If you're diving into meme tokens, keeping an eye on DeFi giants like Aave can give you an edge. It shows where the big money is flowing and how it might impact the next big pump. Stay tuned to Meme Insider for more updates on how DeFi intersects with meme culture!