What is Aave USDC (Linea)?

Aave USDC is an interest-bearing token that is created when USDC is deposited into the Aave protocol and is burned when redeemed. It is pegged at a 1:1 ratio to the underlying USDC, allowing users to store, transfer, and trade aUSDC freely.

While the deposited USDC is lent out to borrowers, aUSDC accrue interest in real time, reflecting the yield on the deposits directly in the user's wallet. This setup facilitates the generation of interest without requiring active management from the holder.