Aave, a popular DeFi protocol, is planning to launch an “Aave Network” chain after completing its V4 upgrade. Stani Kulechov, the founder of the lending protocol, made the announcement on social media, indicating that the chain could be launched by next year or earlier. Aave is currently the largest lending protocol in the DeFi sector, with assets locked totaling $13.2 billion.
The Aave Network was proposed by Aave Labs as part of its strategic 2030 roadmap. The network is expected to serve as the primary hub for Aave and GHO, while maintaining a multichain and network-agnostic approach. The proposal outlined plans to use the GHO stablecoin for gas fees and the AAVE token as the main staking asset for decentralized validators and sequencers. The network will inherit its security from Ethereum, as Aave Labs continues to monitor the evolution of Layer 1 and Layer 2 blockchains.
The crypto community has welcomed the news of Aave’s plans to launch the Aave Network. Jason Ma, head of DeFi at Axelar Foundation, believes that successful apps will eventually launch their own chains. Marc Zeller, founder of the Aave Chan Initiative, predicts that Aave could become the largest Ethereum Layer, surpassing other layer-2 networks like Optimism and Arbitrum. He estimates Aave’s market cap to be $20.5 billion, making it the third-largest chain after Ethereum and Tron.
Avara, the parent company of Aave, recently announced the Lens Network to expand Lens Protocol, built on zkSync technology, indicating a strong focus on launching appchains. Kulechov has advocated strongly for this workflow to enhance the functionality and reach of the Aave Network. With these developments, Aave is positioned to continue its growth and expansion within the DeFi sector, establishing itself as a key player in the space. The launch of the Aave Network will further solidify its position and open up new markets for growth and development.
