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Aave provides institutions with access to DeFi through Aave Arc

Popular DeFi Credit platform, Aave, has launched an approved credit and liquidity service focused on attracting institutions.

30 institutions are on the Aave Arc whitelist

The new service, called Aave Arc, is an approved pool of credit for institutions looking to get involved in the DeFi space. This ensures that the institutions can stay within the regulatory framework.

30 institutions are already on the whitelist, a list of institutions that have shown interest in participating in the platform. Notable names include Fireblocks, Celsius, SEBA Bank, CoinShares, and Anubi Capital. The financial institutions will act as borrowers, suppliers and liquidators on the platform.

A Notice by Fireblocks announced that it has developed a framework that would enable it to “verify the identity and beneficial ownership of legal entity customers, as well as continuously monitor the Aave Arc pool and its participants.

With the DeFi space growing significantly over the past few months and now worth over $ 100 billion, everyone wants a piece of the pie. However, the need to comply with legal regulations meant that registered financial institutions could not participate in the promotion. With Aave Arc, that is now possible.

As an approved liquidity pool, the acceding financial institutions can meet the KYC / AML requirements. Something that Aave can’t do on its own since it’s not a financial institution.

With the introduction of Arc, Aave continues its expansion plans for the year. It is early this week announced that it would develop a mobile wallet. This follows other recent developments, such as the deployment on Polygon and avalanche and be adoption from the SEBA bank.

Aave price down 12% in 24 hours

Despite the positive news, the AAVE price continues to suffer from the red in the crypto market. In the past 24 hours, the token has lost 12% of its value, falling from $ 258.75 to $ 225.85. The price movement in the last seven days is no different with a loss in value of 5.7%.

This is not surprising in view of the massive sell-off in the last 24 hours. According to data from CoinMarketCap, the total market capitalization of crypto assets fell 6.9%. This meant that about $ 200 billion went out of the market since market capitalization fell below $ 2.1 trillion for the first time in more than three months.

However, a broader look at the AAVE performance shows that the token has performed well. According to Coingecko, it has seen its price jump over 16% and its value 82% year over year in the past 30 days.

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