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▫️Onyx 📚🎩
@cipherscript.eth
explore this paper on DeFi lending protocol Aave V2, where over $50 billion is locked despite over-collateralisation it reveals that liquidity is driven by yield-seeking, while borrowing is mainly speculative or for enhancing governance power https://www.bis.org/publ/work1183.htm
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tyler
@tylerw
was excited to read this but then they lost me halfway through the intro https://twitter.com/0x7477/status/1786438151617294344
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tyler
@tylerw
if Aave had 2% of accounts underwater as this paper represents, protocol would've ceased to attract TVL long ago
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