#OnChainLendingSurge

On-chain lending refers to decentralized borrowing and lending through blockchain-based platforms, where smart contracts automate transactions without intermediaries. The surge in on-chain lending can be attributed to growing interest in decentralized finance (DeFi), which offers users the ability to lend or borrow assets while retaining control of their funds. This trend is fueled by high-interest rates, transparency, and reduced reliance on traditional financial institutions. Platforms like Aave, Compound, and MakerDAO allow users to engage in collateralized lending, earning interest or accessing liquidity with crypto assets. The surge reflects the increasing adoption of blockchain and DeFi in the financial ecosystem.