It seems like, at least gradually, things are heating up again in the lending market. While activity still pales in comparison to the heat of DeFi summer, there does seem to be an uptick in both borrowings and repays on major lending platforms on Ethereum.

On May 7, net borrows on Aave came out to $158.65 million. Net borrows refers to the amount of loans being taken out minus the amount of loans repaid. So when a platform has a daily net borrow that is negative, that just means more loans were paid back than originated that day.

For Aave, this is the largest day of net borrows in over a year. For most of the past 12 months, net borrows have been pretty mild, with occasional spikes. In the summer of 2023, it was more common to see a spike in repayments as opposed to a spike in borrows, …