Aave Dials Back Multi-Chain Expansion with Network Cuts
Aave is re-evaluating its multi-chain expansion and reducing its asset list in an effort to lower risk and improve focus. The protocol has decided to deprecate 50 low-adoption assets, reserves across several chains, and wind down operations on six underperforming networks: Sonic, Scroll, zkSync, Metis, Soneium, and Aptos.
This move affects $98.1 million in supply and $15.6 million in debt, and is part of Aave's new risk framework aimed at decreasing monetary and technical risks. By eliminating low-usage reserves, the protocol reduces its monitoring burden, including oracle feeds and regulatory attention.
Aave's CEO Stani Kulechov explained that the decision to retract deployments from these chains is linked to a comprehensive redevelopment of its multi-chain strategy. The network being exiled represents some of Aave's smallest and least active parts, with instances on chains like zkSync, Metis, and Soneium generating only hundreds of dollars in revenue over a 30-day period.