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Author: Admin | 2025-04-28
At the same time, you can also borrow against your assets by depositing assets.However, what’s attracting many new investors to Aave is its flash loan offer, which has many advantages over traditional loans. How to get a flash loanTo get a flash loan in crypto on Aave, you require some coding skills. You might want to check out the flash loan documentation provided by Aave.However, there are also user interfaces like that provided by Furucombo. This lets you use crypto flash loans without coding skills. You can set up a flash loan using the Furucombo interface. Here is an example:Connect your wallet to Furucombo/Create a cube (Create > New Cube > Uniswap Swap Token) and select the token to swap (you need to know the price discrepancy to decide which tokens to swap. It can be any DEX.) Click Set after you choose the swap and the amount.Create a cube (New Cube > 1Inch Swap Token). Select the opposite trade to the one you made in the first cube to get the same token back. You will need it to repay the flash loan. Click Set when all the details are set.Create a cube (New Cube > Aave Flashloan) and select the same token and amount you used to start the trade at the first cube. Click Set. You will get two boxes and will need to move the first one on top of the other boxes. The first transaction is the one to borrow the funds, and the last transaction is to repay the loan and the 0.09% interest.Click Approve.Click Confirm.The entire flash loan through Furucombo should look like this:Flash loan on Furucombo: furucombo.appFlash loan use casesWe’ve talked about the many upsides of flash lending. But there are a bunch of flash loan use cases that can provide benefits to investors. These are the most important use cases:Collateral swappingArbitrage tradingSaving transaction feesDebt refinancingCollateral swappingDeFi users can also use collateral exchanges to obtain loans through multi-collateral lending applications. If you have taken out a DAI loan from Compound and deposited ETH as collateral, you will need to trade the ETH collateral for DAI collateral via a DAI flash loan. This will balance the amount of the DAI you borrowed. Arbitrage tradingAnother interesting use of flash loan transactions is arbitrage. Crypto investors have many opportunities to profit from price discrepancies between different markets. Crypto arbitrage is the process of performing trades
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