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Aaveator138
Feb 05, 2023
Expert Q&A
Why would I borrow instead of selling my assets?
Hey!
Are there any sense to borrow instead of selling my assets on Aave defi?
- Aave Protocol
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1Aaveator138
Feb 16 2023, 10:12Selling your assets means closing your position on that particular asset. Hence, if you are long on the asset, you would not be entitled to the potential upside value gain. By borrowing you are able to obtain liquidity (working capital) without selling your assets. Users are mainly borrowing for unexpected expenses, leveraging their holdings or for new investment opportunities.
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Aave is a decentralized non-custodial liquidity protocol where users can participate as depositors or borrowers.
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