Aave created a risky DeFi feedback loop with only a $460M backstop as its lending monopoly reaches 51%,

Governance is shifting to asset-scoped “Umbrella” protection, boosting efficiency while leaving cross-asset contagion partly exposed.

Aave now controls 51.5% of the DeFi lending market share, the first time any protocol has crossed the 50% threshold since 2020.

The milestone arrives not through competitor collapse but through steady accumulation: Aave’s $33.37 billion in total…

Cryptonews.fyi