AAVE token surged 20% following the advancement of the GENIUS Act in Congress, which aims to bring regulatory clarity to stablecoins, a sector significant to Aave. The bill will allow banks and companies to issue stablecoins if they meet certain requirements, potentially leading to broader institutional adoption. With AAVE up over 90% in the past month and Total Value Locked surpassing $25 billion, the protocol continues to play a crucial role in the stablecoin economy by facilitating lending and borrowing. This enthusiasm is bolstered by World Liberty Financial's acquisition of AAVE tokens, reflecting growing institutional interest in decentralized finance. Despite still being below its peak of $383, AAVE's recent performance outshines the broader market, emphasizing the impact of regulatory developments on investor sentiment.

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