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Simple beginner's guide to Moonwell on Base: Lend, borrow, stake WELL, and discover why it's competitive with Aave & Compound for low-fee farming.

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Moonwell on Base – My Learning Journey 🌕

Hi! I'm UKML, a total beginner and learner in DeFi and coding. I've been creating simple GitHub repos to learn about Base chain projects. This one is all about Moonwell – an awesome lending and borrowing protocol built for Base (Coinbase's super-fast, low-fee Layer 2).

What is Moonwell?

  • Moonwell is an open-source DeFi app for lending assets to earn yield and borrowing against collateral.
  • Native to Base for the lowest fees and best speed.
  • Native token: WELL (listed on Coinbase since September 2024!).
  • Stake WELL in the Safety Module for extra rewards and help secure the protocol.
  • Supports key assets like USDC, ETH, cbETH, wstETH, and more.
  • Official app: moonwell.fi
  • Docs: docs.moonwell.fi

(Current stats ~December 2025: TVL on Base ~$139M, average APY ~2.8%, protocol active with new features like the Moonwell Card for real-world spending.)

Why Moonwell is Great for Base Farmers and Yield Seekers

  • Base is exploding with Coinbase backing – cheap gas makes looping, farming, and daily strategies way more efficient.
  • Lend assets for competitive yields + potential WELL reward boosts.
  • Borrow to leverage or farm elsewhere on Base (like Aerodrome or Uniswap).
  • Stake WELL for additional rewards.
  • As a beginner, I see huge potential for Base farmers to stack extra yields here!

Why Choose Moonwell Over Aave or Compound on Base?

All three are solid lending protocols, but here's a beginner-friendly comparison (based on December 2025 data from DeFiLlama and community discussions):

  • Higher Potential Yields with Incentives: Moonwell often offers boosted APYs through WELL token rewards and emissions, especially on key Base assets like cbETH or USDC. While base rates are similar (~2-6% for stables across all), Moonwell's extra rewards can push net yields higher for active users. Aave and Compound focus more on pure market-driven rates without as many token incentives on Base.

  • Native to Base & Coinbase Ecosystem: Moonwell is optimized for Base from day one – seamless integration, lower risks from cross-chain issues, and direct ties to Coinbase (WELL listing + native USDC support). Aave and Compound are multi-chain giants but started on Ethereum, so Base feels like "home" for Moonwell.

  • WELL Staking Rewards: Unique Safety Module lets you stake WELL for extra APY and governance power. Aave has GHO/staking, Compound has COMP, but Moonwell's feels more rewarding for Base-focused holders right now.

  • User-Friendly for Beginners: Simple interface, plus new features like the Moonwell Card (spend crypto IRL with Apple/Google Pay). Great for learning without complexity.

That said – Aave and Compound are more battle-tested with massive TVL ($40B+ for Aave overall) and longer track records. Moonwell had an oracle exploit in November 2025 (~$1M attacker profit, some bad debt), but the team responded quickly, governance is active, and the protocol recovered/continued growing. Always DYOR – smaller protocols like Moonwell can have higher rewards but more risks!

My Thoughts as a Beginner (UKML)

I'm just learning with zero experience, building repos like this to understand DeFi. Moonwell feels exciting for Base growth – tied to Coinbase, low fees, and real utility. Post-exploit, it's still active with updates (like the card and governance proposals). Start small, watch rates on the app, and have fun farming!

Useful Links

Feel free to share your precious idea's, fork, star, or give tips – I'm learning! 🚀

#Base #Moonwell #DeFi #OnBase #CryptoBeginner

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Simple beginner's guide to Moonwell on Base: Lend, borrow, stake WELL, and discover why it's competitive with Aave & Compound for low-fee farming.

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