maria paula

LlamaRisk proposes repositioning Aave V3 Core, Aave's largest market, to focus on liquid, blue-chip collateral. The proposal would remove several categories of exposure: 1. Restaking assets 2. Leveraged wrapping strategies 3. Issuers whose operational and security resources fall short of Aave's risk standards 4. Low-demand reserves that no longer justify ongoing maintenance This means potentially moving $1.52B in collateral backing $1.17B in debt out of V3 Core in favour of blue-chip collateral. As the risk landscape evolves and Aave V4 grows, the goal is to sharpen V3 Core's risk profile and raise the bar for collateral eligibility. Some affected assets could transition to isolated Aave V4 markets, where more granular risk controls allow for better risk-reward alignment. The proposal comes from LlamaRisk, an Aave Protocol Risk Manager, and remains subject to governance discussions and engagement with asset issuers. Aave will continue applying continuous risk assessment for all assets across all deployments.

Today, 1 in 2 Ethereum blocks will be protected. With Phylax, apps can set circuit breakers that Titan Builder enforces at block construction, excluding transactions that violate app-defined rules before settlement. It's a simple idea: hacks should not settle.

What happens when you use tokenized stocks as collateral to borrow USDC and invest it in onchain lending markets? In the first Masterclass of Season 2, @HorinekPM from @Base explains where the carry comes from and what risks remain when the underlying collateral is a stock. Timestamps 00:53 How tokenized equity carry works 02:06 Where the borrowed USDC goes 05:19 How the carry is calculated 08:20 LTV and liquidation risk 10:20 What happens when stock markets close 12:13 How incentives affect lending markets

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Aave Labs has acquired the team and technology behind @avon_xyz, one of the leading companies working on fixed-rate lending onchain. The Avon team brings deep protocol engineering and market-structure expertise to Aave Labs as it expands onchain lending for a mainstream audience.