[ARFC] Onboard PAXG to the Global Dollar Hub in Aave V4 Ethereum

Governance
1

Summary

This proposal seeks to onboard Pax Gold (PAXG) to the Global Dollar Hub on the Aave V4 Ethereum instance. Final asset configuration will be determined by the Risk Service Providers.

Motivation

PAXG is an ERC-20 token issued by Paxos Trust Company, where each unit represents one fine troy ounce of a London Good Delivery gold bar held in professional vaults. Redemption and custody are administered by a regulated issuer, and holdings are subject to periodic third-party attestations.

Onboarding PAXG to the Global Dollar Hub is aligned with the DAO’s long-term objectives in several ways:

  • It introduces a gold-backed, real-world asset to the Aave V4 Ethereum instance, broadening the range of collateral and liquidity available beyond dollar-denominated exposures.
  • It gives users access to a regulated, physically-backed representation of gold within the Aave ecosystem, supporting demand from institutional participants and DeFi protocols seeking commodity exposure.
  • It complements the Global Dollar Hub’s existing composition, adding a non-correlated asset that strengthens the instance’s position as a venue for diversified liquidity strategies.

Specification

This proposal adds PAXG to Aave V4 Global Dollar Hub in Ethereum

Token Address: 0x45804880De22913dAFE09f4980848ECE6EcbAf78

Risk Parameters and final configuration will be updated by Risk Service Providers and ARFC will be updated accordingly.

Useful Links

Disclaimer

This proposal was prepared by Aave Labs in its capacity as a contributor to the Aave ecosystem. Aave Labs has no financial relationship with Paxos Trust Company or any of its affiliates and has not received compensation from Paxos in connection with this proposal.

Next Steps

  1. Gather community feedback during the ARFC stage.
  2. Service Providers to post Asset Technical Assessment and Asset Risk Assessment.
  3. If the ARFC response is positive, escalate to Snapshot for off-chain confirmation.
  4. Execute the corresponding transaction through the V4 Security Council to onboard PAXG to the Global Dollar Hub on the Aave V4 Ethereum instance.

Copyright

Copyright and related rights waived via CC0.

1 Like
2

Aave Labs for driving the Aave V4 and Global Dollar Hub vision and for bringing this PAXG onboarding forward.

One quick process point: it’s not fully clear who owns the high‑level asset strategy for the Hub Aave Labs, the Risk Service Providers, or the DAO via a formal framework. Before we add more assets, I’d really like to see a governance‑endorsed “Global Dollar Hub asset policy” that clarifies the intended scope of assets, issuer concentration limits, and basic liquidity/oracle standards.

I’m supportive of the diversification angle here; my comment is mainly about keeping portfolio construction transparently DAO‑driven rather than implicitly steered by any single contributor.