Aave Abandons Six Underperforming Blockchain Networks

Aave, the largest decentralized lending protocol in DeFi, is proposing to withdraw from six blockchain networks and retire 71 underperforming asset markets. This decision comes after a devastating April exploit, which exposed vulnerabilities in interconnected DeFi infrastructure.

According to LlamaRisk, Aave's contracted risk service provider, these six chains - Sonic, Scroll, zkSync, Metis, Soneium, and Aptos - generate less than $5,000 per quarter in protocol revenue. This amount is not enough to cover the fixed costs of maintaining active oracle price feeds, liquidation infrastructure, and ongoing risk monitoring for each network.

The proposal would allow users with existing positions on these networks to exit their positions without being force-liquidated. Instead, Aave would freeze new deposits and borrowing, set supply and borrow caps to one token, raise reserve factors to 99%, and introduce a 5% base borrowing rate to make staying expensive.

Aave founder Stani Kulechov announced the initiative on X, endorsing a governance proposal filed by LlamaRisk. The proposal must pass an on-chain DAO vote before any changes take effect.