Aave Credit Delegation

Aave Credit Delegation allows a depositor to deposit funds in the Aave protocol to earn interest, and delegate borrowing power to other users. Once credit is delegated to the delegatee, then they can borrow credit from the Aave protocol. Later the delegatee can repay the credit. It depends on the delegator on how they want to handle the collateral flow. If the delegator trusts the delegatee, then no collateral is required. Delegator could also consider an Off-chain asset as a collateral from the delegatee. Hence Aave Credit Delegation democratizes DeFi by allowing Off-chain assets to be used as a collateral to gain exposure to the On-chain assets.

Aave Credit Delegation allows a depositor to deposit funds in the Aave protocol to earn interest, and delegate borrowing power to other users. Once credit is delegated to the delegatee, then they can borrow credit from the Aave protocol. Later the delegatee can repay the credit. Aave Credit Delegation utilizes the Aave Deposit, Borrow, Repay, Redeem and Credit Delegation features.