As of September 28th, AAVE V3's Total Value Locked (TVL) has surpassed $10 billion (currently at $97.2 billion), marking a 197% increase from its $33.6 billion at the beginning of the year. The growth of AAVE V3 is part of a broader DeFi industry recovery. The GMDEFI index, which tracks the price performance of DeFi tokens, has climbed from a low of 60 on September 6th to 79 on September 28th, representing a 31.67% increase in just over three weeks. This surge aligns with the overall positive market trends of the past week, indicating renewed investor confidence in the DeFi space.

It is understood that compared to previous versions, AAVE V3 brings several key improvements:

• Enhanced Capital Efficiency: New features like isolated mode and efficient mode optimize capital usage, allowing users to extract more value from their assets.
• Improved Risk Management: The introduction of new risk parameters and a robust risk management framework enhances the protocol's stability, a crucial factor for institutional adoption.
• Cross-Chain Functionality: AAVE V3's ability to operate across multiple blockchain networks enhances interoperability, driving multi-chain development. (Source: The Block)