DefiLlama founder: Aave TVL not overvalued due to revolving loans

AiCoin
AiCoin|Apr 20, 2026 12:19
According to DefiLlama founder 0xngmi's response to the controversy surrounding Aave TVL on X platform, he stated that the market's view that Aave TVL is overvalued due to revolving loans is not true. When calculating TVL, borrowed assets will be excluded, so the loop operation will not push up TVL. For example, if a user deposits 1 million US dollars of ETH and counts it as TVL, and another user deposits 1 million US dollars of stETH and lends out 1 million US dollars of assets, corresponding to "+1 million US dollars -1 million US dollars", the final TVL will still be 1 million US dollars. DefiLlama has eliminated duplicate calculations, and there is a lack of basis for community related doubts.
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