The platform isn’t just resting on its early success. Aave has introduced new incentives to maintain its momentum.
Users can now earn up to 12x Sonic points when they supply liquidity. These new rewards make Aave a powerful tool for DeFi users seeking to optimize their yield. They also enhance the overall experience in the decentralized space.
Aave’s Quick Rise on Sonic Labs
Aave, one of the most well-known decentralized lending platforms in the DeFi ecosystem, has quickly gained traction on Sonic Labs. In less than two months, Aave has become the dominant money market on the platform, an impressive feat in the fast-moving world of crypto finance. This success is partly due to Aave’s long-standing reputation in the DeFi space, having previously pioneered innovations such as flash loans and rate-switching mechanisms. But it’s not just reputation driving Aave’s success on Sonic Labs. It’s the enhanced incentives that have captured the attention of liquidity providers and borrowers alike.
Sonic Labs has introduced a unique rewards program to encourage more users to supply liquidity to the Aave market. By offering up to 12x Sonic points, the platform has given liquidity providers a reason to get involved—and stay involved. These Sonic points can be redeemed for various rewards within the Sonic ecosystem, adding an extra layer of motivation for users who are looking to optimize their DeFi strategies.
Aave has become the top money market on @SonicLabs just 40 days after launching, surpassing $480 million deposits.
Moreover, they now offer up to 12x Sonic points when supplying liquidity, which makes @aave a compelling optimizer for defi users pic.twitter.com/P06H4BugNU
— Jonaso (@Jonasoeth) April 17, 2025
For example, a user who supplies liquidity to the Aave market on Sonic Labs can now earn a significantly higher number of points compared to the standard reward system on other DeFi platforms. With this enhanced reward structure, liquidity providers have a greater incentive to contribute their assets, which, in turn, increases the total liquidity available on Aave.
More About Aave
AAVE buybacks have officially begun, marking a significant milestone for the project. For months, we’ve been highlighting Aave’s fee switch as a key catalyst for growth, and last week, the project launched its buyback program. Under this initiative, Aave plans to repurchase $1 million worth of $AAVE tokens per week for an initial six-month period. This buyback budget is expected to grow as the protocol’s revenue rises in 2025, driven by several key factors.
AAVE Buybacks have officially started || @aave
For months we have been highlighting Aave’s fee switch as one of the most significant catalysts.
Last week, the project officially started to buy back $AAVE tokens, which will then be redistributed to $AAVE stakers.
▫️Program… pic.twitter.com/1sYB98TcPK
— GLC (@GLC_Research) April 18, 2025
First, the Chainlink SVR partnership is set to recapture MEV from liquidations, with an estimated $10 million in potential revenue. Additionally, the expected profitability and sustainability of $GHO, along with Horizon, a new RWA-focused instance, will further fuel growth. For those keen on tracking these buybacks, Token Logic has launched a new dedicated dashboard. This will provide real-time insights into AAVE metrics.
Disclaimer
The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers, and their risk tolerance may be different from yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments, so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.
