Aave Proposes Winding Down Six V3 Markets, Retiring $98.1M in Assets

Aave's risk management service, LlamaRisk, recommended the lending protocol wind down its V3 markets across six blockchains, a move that would offboard $98.1 million in supplied assets. The proposal also seeks to retire dozens of low-use token listings and $15.6 million in debt across these instances.

The Aave Request for Comment (ARFC) outlines plans to remove 50 low-use reserves and 21 matured Pendle principal token listings across 11 deployments. All 25 reserves on Sonic, Scroll, zkSync, Metis, Soneium and Aptos are targeted for retirement.

Balances for these markets were measured on July 28. Prior action already froze reserves on Scroll, zkSync, Metis and Soneium. The ARFC specifically recommends freezing the remaining active reserves on Sonic and Aptos.

Aptos' Aave V3 market launched 11 months ago. Its available liquidity has dropped 94 percent over the past six months. Quarterly revenue for the Aptos deployment fell below $1,000, according to LlamaRisk data.

The proposal follows a multichain strategy temp check that concluded on Dec. 5, 2025. That vote saw 923,400 votes in favor and less than 1 percent against measures to increase reserve factors on underperforming instances and shut down deployments on zkSync, Metis and Soneium. It also established a $2 million annual revenue floor for new instance deployments.

Scroll was added to the list of affected protocols in April through an accelerated process. LlamaRisk filed a direct-to-AIP proposal to freeze all Scroll reserves and raise selected reserve factors, citing rapid deterioration in network liquidity and Aave market activity.

Aave founder Stani Kulechov said the consolidation will "reduce Aave's economic and technical risk surface as part of the new Aave Risk Framework and Technical Asset Listing Framework." That framework, published on June 9, covers asset, bridge, monitoring and chain risk criteria for winding down reserves or deployments.

Kulechov said this action does not represent a reversal of Aave's multichain expansion strategy and that Aave "will continue applying continuous risk assessment for all assets across all deployments." The protocol launched on Avalanche earlier this month.

An ARFC functions as a detailed proposal and serves as a precursor to an Aave Improvement Proposal (AIP). It does not constitute a final on-chain vote or execution. Final action requires an AIP and a subsequent governance vote by Aave token holders.