Aave announced on September 9 that deposits in its v4 architecture surpassed $900 million, less than six months after its launch on Ethereum. Active borrowing climbed above $280 million, with both metrics indicating new liquidity being actively deployed rather than held idle.
Aave v4 launched on Ethereum on March 30, introducing a hub-and-spoke structure that centralizes liquidity pooling while enabling separate lending markets to operate with distinct collateral types, risk controls and liquidation parameters. Assets supplied through any spoke enter a central liquidity hub and become available across connected markets, adhering to governance-set limits.
Deposits grew from approximately $240 million in early July to $346 million by early August, then $551 million by August 28, according to governance data. A September 4 risk review reported deposits across five hubs on Ethereum and Avalanche at around $577 million.
Aave Labs expanded v4 beyond Ethereum to Avalanche in July. Proposals moving through governance this month include adding euro-denominated EUR CoinVertible to the v4 Core instance on Ethereum.
The institutional Aave v4 Arc market attracted $124.8 million in USDC as of September 18, according to Aavescan data. LlamaRisk reported in September that Arc's Main Spoke reached its 56 million USDC cap within hours of launch.
Protocol growth figures require careful comparison. Aave's internal measure of v4 deposits includes all assets supplied across deployments, while some third-party TVL trackers report lower figures by excluding borrowed assets or not indexing every v4 market.
