The third model of the crypto lending app Aave has now been deployed to for the primary time, in keeping with a Jan. 27 Twitter thread from the Aave crew. “Aave v3” was initially launched in March 2022 and deployed on a number of Ethereum Digital Machine (EVM)-compatible blockchains shortly afterward. Till now, Ethereum customers solely had entry to the app’s older “v2” model.

Aave v3 consists of a number of options meant to assist customers save on charges and maximize the effectivity of customers’ capital. For instance, high-efficiency mode permits the borrower to keep away from among the app’s extra stringent threat parameters if the borrower’s collateral is extremely correlated with the asset being borrowed. Builders say this can be helpful for debtors of stablecoins or liquid staking derivatives.