Aave’s flash loans allow uncollateralized borrowing, repaid instantly within one transaction. This enables **arbitrage**, **collateral swaps**, and advanced strategies, increasing user engagement and liquidity. Security is enhanced by their **atomic nature**—transactions either fully execute or fail, avoiding partial risks. Immediate repayment eliminates default risk. Aave strengthens security with **rate limits**, **monitoring**, and **community governance**, quickly addressing threats. These features draw users and capital, solidifying Aave’s DeFi leadership while ensuring safety.