?

*Inflation figures shown here reflect circulating (market) inflation and may differ from a coin’s projected, policy (planned) inflation.

What is Aave?

Aave is a leading DeFi lending protocol that lets users borrow and lend digital assets in a non-custodial, trust-minimized way across Ethereum and other networks. It enables users to earn interest, access flash loans, and switch between stable and variable rates, powered by its native governance token AAVE. This focus on security, composability, and user-friendly features has made it a cornerstone of the DeFi ecosystem.

Why does Aave have inflation?

Aave has inflation because newly minted AAVE tokens are used to reward stakers and governance participants and to fund liquidity-incentive programs, aligning incentives with protocol security and growth. The emission rate is governed by on-chain governance and can be adjusted over time to balance security, incentives, and token scarcity.

How is Aave inflation calculated?

Aave inflation is calculated by comparing the circulating supply from one year ago to today’s supply. The percentage increase in supply over that period is the annual inflation rate. Learn more in our guide: What is cryptocurrency inflation?.

How is Aave emission calculated?

Aave emission refers to how new coins enter circulation, usually through mining or staking rewards. The emission rate depends on the project’s monetary policy and block reward schedule. Learn more in our guide: What is cryptocurrency emission?.

FAQ

We calculate our own inflation and emission data via our algorithms. You can learn more about how we derive our data in the learn page.

We encourage the usage of any data available on this website. You may use it for your personal or educational goals, but do not use it commercially unless you purchase the CryptoInflation API.

We strive to make the data as accurate as possible, but some blockchains have limitations on how precisely supply, inflation, and emission can be calculated. Moreover, the data on this website often has to be averaged and approximated, therefore the data can be a bit off sometimes.

Cryptocurrency emission and inflation aren’t inherently bad—they’re part of how many blockchains secure their networks and incentivize miners or validators. Moderate inflation can help distribute coins fairly and keep the network active, but excessive or poorly managed emission may dilute value and hurt long-term sustainability. You can learn more about how issuance affects price here.