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The Aave (AAVE) community is in the process of approving two proposals that seek to deploy Version 3 of the Aave protocol on Binance’s BNB Chain and Starknet, a zk-rollup.
As per the proposal, integrating Aave V3 with BNB Chain will allow users to select six cryptocurrencies as collateral. These include Binance-issued Beacon ETH and BNB (BNB), stablecoins USD Coin (USDC) and Tether (USDT) and wrapped Bitcoin (wBTC) and wrapped Ethereum (wETH) tokens. The proposal added,
“This deployment aims to enhance the growth and collaboration between the Aave and BNB Chain communities, providing new opportunities for both ecosystems.”
Although Marc Zeller's proposal received a positive reception from an earlier voting session, a community member noted that bETH does not have enough liquidity on decentralized exchanges. In response, Zeller noted bETH will become peg-resilient after the Shanghai upgrade on April 12.
Meanwhile, the second proposal is in continuation of an earlier plan to integrate Aave with Starknet. As of writing, the developers have finished the first phase of the project by bridging Aave’s atokens between Ethereum (ETH) and Starknet.
The second phase will involve the full deployment of Aave Version 3 on Starknet. According to the proposal, integrating Aave with Starknet will increase capital efficiency by reducing transaction fees on Aave users’ trades and liquidations.
“Starknet supports features that can directly benefit Aave suppliers and borrowers. By deploying on Starknet, the Aave ecosystem immediately benefits from the advanced features afforded by the broader Starknet ecosystem.”
So far, the ‘temperature check’ vote has received overwhelming support from the Aave community.