AAVE collateral

Governance
1

I am aware I am being pushy but I believe the community sentiment and agreement to move forward on AAVE as collateral is in favor?

At minimum AAVE works like LEND in the collateral position;

  1. Enable AAVE collateral (same parameters as LEND 50% LTV, etc)
  2. Enable - Deposit AAVE, receive aAAVE
  3. AAVE cannot be borrowed
  4. Create a script to convert aLEND to aAAVE for those assets already obligated/deposited as collateral
  5. Stkaave, Aave and aAAVE = voting power

Are we missing something?

What are we waiting for? @stani

8 Likes
2

I have mentioned it before but I think its needed soon. At the moment LEND is more useful because it can be used as collateral. Would love to have staking rewards and collateral use with AAVE tokens. Could it get made into governance proposal #2?

1 Like
3

Agreed this is a no brainer. Why aren’t we moving forward with this ASAP? There is a risk that with thin and reducing supply of LEND not being converted directly from aLEND to aAAVE that short sellers can borrow and dump on thin order books on exchanges. Disaster waiting to happen in this market environment…

1 Like
4

Just have some patience. It’s coming in the same time than the V2.

3 Likes
5

To migrate and reduce capability/use case to the token holders, to now being a multi week, or month AIP vote with no action is silly.

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6

The polling on adding AAVE as a collateral happened here: Aave Protocol Token Addition - Community Sentiment Poll

The polling was positive.

The next step accordingly to the AIP process is to create an AIP (already in creation) and then the official voting that starts soon. The vote will be with payload, which means that successful outcome will execute the code and AAVE will be listed as collateral in the protocol.

10 Likes
7

@stani

Appreciate this insight and communication, what is the norm for notifying the community that these proposals are being taken on for AIP consideration? Is it the sentiment vote is the precursor? Is there follow up to notify the community that there is a successful sentiment vote and work is being constructed in support thereof?

I feel like there is a gap in comms with setting the expectation with the community on what is in work, going to be an AIP, or not, etc. are these being discussed elsewhere that aren’t on this forum with further information?

I am certain you are very busy, but I cannot find a definitive process that outlines what exactly constitutes taking and idea to fruition. Again, I might be missing it but want to make sure it is clear for all to help drive and participate in the Governance of the platform. If it’s something I need to read, let me know that too! TY.

1 Like
8

Thanks Stani. So to confirm we will be able to migrate LEND deposited directly to AAVE in a single process which won’t affect other assets for liquidation? How do we get notifications to know to vote on this AIP so we can accelerate this? Thank you.

9

Yeah we definately need this asap. Part previous LEND pump was people buying LEND, deposit it on AAVE, borrow stablecoin, buy more LEND and repeat. The token’s value as collateral needs to be restored 2 weeks ago especially now that the whole alt market is bleeding

2 Likes
10

You asked for it, here it is : https://twitter.com/AaveAave/status/1318571148074979334?s=20

$AAVE is now collateral on the Aave market.

6 Likes
11

It happened!!! yayyyy!!! thanks AAVE team!

2 Likes
12

Awesome thanks for this. is there a way to transfer LEND to AAVE directly without unwinding the whole deposit with multiple transactions paying down debt etc?

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Thanks @MarcZeller - glad it happened without the need of an AIP to restore the token use case Collateral usage capability!