The Aave DAO greenlit a grant distributing $12 million GHO to Aave Labs’ over the course of one year.<\/p>\n
Aave Labs Issued 12-Month Grant To Develop V4 Iteration<\/p>\n
Aave governance greenlit a $12 million GHO grant for Aave Labs to build out Aave v4 over 12 months.<\/p>\n
Avara appears on track to ship the fourth version of Aave, the largest DeFi lending protocol, in 2025.<\/p>\n
On June 30, Aave governancepassed<\/a> an Aave Improvement Proposal [AIP] allocating 12 million GHO \u2014 Aave\u2019s native stablecoin \u2014 to Aave Labs to fund the development of Aave v4 and new \u201cvisual identity assets\u201d for the project.<\/p>\n Aave Labs will receive 3 million GHO up front, with the remaining funds streamed over the course of one year.<\/p>\n \u201cThis AIP proposes a one-year technical contributor engagement for the Aave Labs to act as a service provider for development of Aave v4 and a new visual identity,\u201d the proposal said.<\/p>\n Aave is currently the third-largest DeFi protocol with $12.7 billion in total value locked, according to DeFi Llama. Theprice of AAVE<\/a> is up 4.57% over the past 24 hours, according to The Defiant\u2019scrypto price feeds<\/a>.<\/p>\n Avara \u2014 the parent company developing Aave, GHO, and the Lens social graph \u2014 announced plans to build theAave v4<\/a> protocol in May. Avara also outlined plans to launch a bespoke Layer 2,Aave Network<\/a>, following v4\u2019s launch.<\/p>\n Aave v4\u2019s rollout is expected to comprise a staged launch over multiple years, with Avara aiming to first deploy the revamped v4 codebase around mid-2025. The project also intends to launch a cross-chain liquidity layer (CCLL) enabling Aave v4 to aggregate liquidity from across multiple chains, anticipating that the CCLL won\u2019t go live until 2026 or 2027.<\/p>\n The CCLL\u2019s launch will form part of a three-year roadmap designed to ensure Aave\u2019s position as a top DeFi protocol. The roadmap also includes promoting the development of real-world asset products leveraging GHO, deploying Aave on networks that don\u2019t support Ethereum Virtual Machine smart contracts, and the creation of new visual branding for the project.<\/p>\n The freshly passed grant for Aave Labs includes an itinerary outlining v4\u2019s development over the next 12 months.<\/p>\n Core components include the development of a \u201cmodular architecture\u201d aimed to improve the efficiency of integrations, Chainlink-powered automatic interest rate adjustments, interest rate premiums for assets exhibiting higher risk profiles, and an updated liquidation engine.<\/p>\n The roadmap also features several upgrades pertaining to GHO, including support for interest payments in the form of GHO to asset suppliers, improving the efficiency of GHO minting, and a GHO-based \u201csoft\u201d liquidation mechanism.<\/p>\nUpdated roadmap<\/h2>\n
Aave v4<\/h2>\n