Sonic, previously Fantom, has handed the primary stage of launching Aave’s third-generation lending protocol on its blockchain.
An on-chain temperature verify to advance Aave v3 deployment on the newly launched Sonic layer-1 community reached a quorum on Dec. 27, per a snapshot vote. The verify sought to evaluate neighborhood help for integrating Aave, the most important decentralized finance lending protocol, with Sonic’s blockchain.
Aave Chain, a serious delegate on the AaveDAO, submitted the proposal, which can proceed to the Aave Request for Remark stage, permitting suggestions from governance members and repair suppliers.
A profitable ARFC would unlock a closing Aave Enchancment Proposal or AIP vote to approve delivery Aave v3 on the brand new layer-1 community.
Aava dominates the DeFi lending market with $xyz billion in complete worth locked, in keeping with DefiLlama knowledge. Launching on the L1 would permit Sonic customers faucet on-chain native credit score line and provide liquidity to different traders.
Sonic’s rebrand from its Fantom period would possibly smoothen the deployment course of. The crew, that includes a roster of veteran builders like Andre Cronje, beforehand grew Fantom to a “peak TVL of circa $14.5 billion in 2021.”
The brand new L1 additionally constructed its blockchain to execute 10,000 transactions per second, with a price monetization to draw web3 builders.
Whereas Aave mulled extending its protocol, it’ll seemingly pull its lending markets from Polygon. The DeFi lender cited points with a Polygon proposal that will expose Aave-native collateral to dangerous debt.
Polygon co-founder Sandeep Nailwal accused Aave of bullying the ecosystem and utilizing anti-competitive techniques. Stani Kulechov, Aave’s founder and CEO, refuted the claims and confused the choice was to guard person safety.
