Aave Closes Six V3 Blockchain Markets Amid Risk Assessment Review

Aave, a leading DeFi lending protocol, is considering closing six V3 blockchain markets and offboarding around 50 low-use reserves. This move is part of Aave's efforts to reduce its economic and technical risk surface, as outlined in the new Aave Risk Framework.

The affected blockchains are Sonic, Scroll, zkSync, Metis, Soneium, and Aptos. LlamaRisk, a DeFi risk management service, recommended that Aave wind down every reserve on these platforms due to low activity and revenue. The balances were measured on July 28.

Aptos is the most recent addition to this list, with Aave launching its V3 market there just 11 months ago. However, available liquidity has decreased by 94% over six months, and quarterly revenue has been below $1,000, according to LlamaRisk.

This move does not signal a reversal of Aave's multichain expansion strategy but rather a strategic refocusing on select protocols. As explained by Stani Kulechov, Aave founder, the protocol will continue to apply continuous risk assessment for all assets across all deployments.