Aave Holds 60% Market Share Despite March Slowdown

• Aave TVL reached $42B with strong yearly growth, but monthly activity and revenue declined after February volatility.
• User activity fell 26% monthly, while market share stayed near 60%, showing resilience despite cooling demand.
• GHO stablecoin grew past $500M as V4 launch and integrations expanded institutional and cross-chain adoption.

Aave reported March 2026 performance data showing mixed trends as activity cooled after February volatility, according to Stani Kulechov and Token Terminal. The protocol maintained nearly 60% market share while total value locked reached $42.34 billion. However, monthly metrics declined, reflecting normalization after earlier market disruptions and shifting income sources.

Key Metrics show Mixed Monthly Trends

According to Token Terminal, Aave’s total value locked fell 5.79% month over month. However, it rose 45.45% year over year, indicating sustained growth. Active loans followed a similar pattern, dropping 6.96% monthly but increasing 47.32% annually.

Meanwhile, fees reached $43.94 million, down sharply from February. Revenue also declined to $6.64 million during the same period. This drop, however, reflected reduced liquidation and SVR income rather than weaker lending demand.

At the same time, monthly active users fell to 114,400, marking a 26% monthly decline. Still, the figure remained slightly above last year’s level. Market share held steady at 59.79%, despite a minor monthly decrease.

V4 Launch and Product Expansion Take Focus

March activity also aligned with major product developments. Notably, Aave launched V4 and Aave Pro on Ethereum. The new version introduced a modular hub-and-spoke architecture designed for flexible borrowing strategies.

According to Aave Labs, this structure allows multiple markets to share liquidity efficiently. As a result, the protocol can support both retail and institutional use cases simultaneously.

In parallel, distribution expanded through integrations. Whop Treasury went live, while Privy Earn and Kraken DeFi Earn broadened access. These efforts targeted users beyond traditional DeFi participants.

Stablecoin Growth and Capital Distribution Shift

While core metrics softened, GHO stablecoin activity increased steadily. Its market cap crossed $500 million for the first time in March. Additionally, transfer volume rose sharply, reaching $5.34 billion.

Capital distribution also shifted across chains. Ethereum retained over 80% of total value locked. However, networks like Base and Arbitrum captured a growing share of user activity.

At the same time, Aave Horizon showed institutional trends. Its total value locked declined, yet borrowing demand remained relatively stable. Average loan size exceeded $1 million, reflecting large-scale participation.

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