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Research

Aave expansion separates deposited capital from borrowed exposure

New deployments and one-click loops need distinct measures of liquidity, debt and borrowing cost.

Three empty mesh storage enclosures are separated by clear warehouse aisles.
Technical illustration

Aave-linked reporting describes V4 on Avalanche as its first deployment outside Ethereum, active V4 loans approaching $100 million and Monad V3 deposits nearing $400 million, with a real-asset hub planned. It also reports USDe supply doubling over 30 days after $385.5 million of inflows, one-click Pendle PT looping and a one-percentage-point Prime Hub rate reduction for USDC borrowers. Deposits and outstanding loans need separate totals; a percentage-point change measures borrowing cost. A shorter borrowing workflow must still expose the total leveraged position, liquidation point and independent liquidity of each deployment.

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