Sentora, an institutional DeFi platform, submitted a governance proposal to operate curated lending markets on Aave V4, starting on Ethereum. The proposal outlines a 50 percent revenue split with the Aave DAO, covering all protocol revenue, from reserve factors to liquidation fees.
The Aave Request for Final Comments, or ARFC, is in the community-feedback stage. It requires a successful Snapshot vote before advancing through governance.
Under the proposed framework, Sentora would gain control over collateral selection, risk parameters and interest rate settings within its managed instances. The Aave DAO would retain ownership of the underlying smart contracts through its Governance Short Executor.
The deal uses Aave V4's modular architecture, specifically its Hub-Spoke design. Sentora has proposed three spokes, each focused on yield-bearing blue-chip collateral assets. On the borrowing side, the instance would restrict available assets to RLUSD, PYUSD and OUSD stablecoins.
All protocol revenue generated by Sentora's instance would be split equally between Sentora and the Aave DAO. The DAO would bear no operational costs, including infrastructure bills, risk management overhead or personnel expenses.
Risk-increasing changes to market parameters would be subject to a 48-hour timelock. This provides the community and service providers a window to review and potentially intervene before changes become active. New asset listings would require a two-week review period prior to activation.
Service providers within the broader Aave ecosystem would retain veto capabilities over changes they deem dangerous to the protocol. The Aave DAO also holds the power to revoke Sentora's operational roles or rescind its authority entirely through a governance vote at any time.
The total value locked in Aave V4 increased from $402 million on Sept. 15 to $660 million by Sept. 29. This represents a 64 percent increase in just two weeks.
Sentora has prior experience with Aave's infrastructure, having orchestrated a $100 million ETH loan for Aave V3's Lido markets. This prior activity established Sentora as an institutional-grade operator capable of handling significant capital flows within the Aave ecosystem.
The stablecoins designated for borrowing — RLUSD (Ripple's stablecoin), PYUSD (PayPal's stablecoin) and OUSD (Origin Dollar) — represent a mix of institutionally backed and DeFi-native assets. Restricting borrowable assets to these three creates targeted demand for each within Aave's new institutional markets.
