Binance Expands AAVE Trading
On November 12, 2020, Binance quietly expanded its trading lineup in a way that caught the attention of both seasoned traders and crypto newcomers. The platform enabled Cross Margin trading for AAVE, a DeFi token that was already making waves in the decentralized finance space.
This wasn’t just another listing update—it was an upgrade in how traders could engage with the AAVE market, and for many, it opened new doors for leverage, liquidity, and trading strategy.
Binance rolled out AAVE/USDT and AAVE/BTC pairs under its Cross Margin program. The advantage here is simple but powerful: in Cross Margin accounts, your entire account balance can serve as collateral across multiple positions. That means unused funds in one trade can help keep another trade alive, reducing the risk of liquidation and giving you more breathing room during volatile swings.
For experienced traders, this meant improved capital efficiency and more freedom in managing positions. For newcomers, it was an opportunity to explore a flexible form of leveraged trading—though with the reminder that higher potential gains come with higher potential losses.
By late 2020, AAVE had grown from a DeFi niche project into one of the leading protocols in decentralized finance. It allowed users to lend and borrow crypto without intermediaries, earning interest or accessing liquidity instantly. The growing demand for AAVE in the trading community made it an obvious candidate for expanded margin options.
Binance’s decision to include AAVE in Cross Margin wasn’t just about giving users a new toy—it was a calculated move to boost liquidity, deepen market activity, and attract traders who wanted more flexibility in their strategies.
The feature went live at 14:53 UTC on November 12, 2020, giving traders immediate access to leveraged long and short positions in AAVE.
To help users make the most of this update, Binance included links to key educational guides:
How to do margin trading
How to short on margin trading
How to long on margin trading
These weren’t just generic help pages. They addressed the main challenge for new margin traders—understanding how leverage works, how risks compound, and how to manage collateral effectively.
Along with the launch, Binance reminded traders of its communication channels: Telegram, Twitter, Facebook, Instagram, and mobile apps for Android and iOS. For active traders, these are essential for staying updated on price moves, new features, and risk alerts.
This update had several clear implications:
More Leverage Options – Open larger positions using borrowed funds.
Increased Liquidity – More activity in AAVE/USDT and AAVE/BTC means tighter spreads.
Portfolio Flexibility – Use collateral across multiple trades instead of locking it per pair.
Higher Risk Exposure – Leverage can amplify both gains and losses.
For Binance, adding AAVE to Cross Margin strengthened its reputation as a platform that caters to diverse trading needs. For AAVE, it was another step toward becoming a mainstream crypto asset traded alongside the most liquid coins.
What is AAVE Cross Margin Trading on Binance?
It lets you use AAVE as collateral for leveraged trades across multiple pairs, sharing margin between positions.
When was it enabled?
November 12, 2020, at 14:53 UTC.
Which pairs are available?
AAVE/USDT and AAVE/BTC.
Main benefits?
More capital efficiency, flexible strategies, and higher profit potential (with higher risk).
Where to learn more?
Binance Help Center offers guides on margin trading, going long, and going short.
Can I trade on mobile?
Yes, through Binance’s Android and iOS apps.
How to stay updated?
Follow Binance on Telegram, Twitter, Facebook, and Instagram.
Purpose of enabling it?
To expand AAVE’s utility and give traders more leveraged trading options.
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