Launch Aave V3 on Gnosis Chain

Summary

Gnosis Chain proposes to deploy Aave v3 on the Gnosis chain and incentivise it to bootstrap liquidity and network effects.

Specifications

Gnosis Chain (GC) is a risk-tolerant, fast-moving network that leads the implementation of Ethereum’s research groups. The Gnosis Beacon Chain was recently launched and will soon merge with its execution layer, formerly known as xDAI. This merger received overwhelming support from both communities.

With the rebranding effort and subsequent merger, Gnosis Chain is poised to expand rapidly. GC is already a home to many DAOs and forward-leaning projects with an emphasis on community and organic growth. The next iteration of the chain will focus on DeFi protocols as a way to empower current users and attract new users to a stable-fee, low-cost, and fast transaction environment. The Gnosis Beacon Chain will serve as the consensus layer and the GC as the execution layer, staying closely attuned to Ethereum and providing opportunities for trustless cross-chain interactions following the merge.

The current DeFi ecosystem on Gnosis Chain is growing and includes Curve, CowSwap, TornadoCash, 1inch, SushiSwap, Honeyswap, Symmetric, Zapper, DeBank and many others. Aave v3, designed specifically for multi-network usage, would give users much needed lending options and provide a huge liquidity boost to foster continued growth.

  • Usage & TVL: GC has been live (formerly known as the xDai chain) since 2018. There are currently close to 6M wallet addresses and 86M+ transactions. Ethereum-based TVL is ~ 800M as measured by assets locked in bridge protocols. Data Source: https://blockscout.com/xdai/mainnet/
  • Decentralization: GC is currently transitioning from a delegated PoS chain (with ~19 validators and 89 delegators) to a globally decentralized chain mirroring the Ethereum consensus-layer/execution-layer model. Once the Gnosis Beacon Chain and Gnosis Chain merge, GBC validators will take over consensus operations. There are now more than 30K validators on the GBC, with programs in place to support increases prior to the merge. Data Source: https://beacon.gnosischain.com/
  • Tools & Resources: The development environment on GC is mature, supported by Chainlink, DuneAnalytics, TheGraph, Gnosis Safe, Tenderly and compatible with most Ethereum-based developer and user resources.
  • Community Projects: Well known projects leveraging GC for low, stable-transactions and multi-chain interoperability include POAP, DarkForest, Perpetual Protocol, DAOhaus, Colony, Swarm, Orchid, Circles UBI. More than 200+ community-focused DApps and projects call the GC home.

Audience and References

Incentives

400K GNO were originally proposed for an incentives program on the Gnosis Chain. Money markets are the foundation of any DEFI healthy ecosystem so Aave should receive a large and sustained percentage of these GNO incentives. A detailed incentivization structure is TBD based on proposal voting outcome.

Initial asset roster: GNO, ETH, WBTC, wXDAI, USDC, USDT and COW

13 Likes

Gnosis chain is my most preferred side chain design. I would also like to see Aave V3 on AoX. The Aribitrum roll up on Gnosis chain. AoX: Arbitrum on GC - Gnosis Chain

2 Likes

Few chains have started with such an ecosystem from day-0.
The Gnosis team & community is highly technical and very well connected.
Network effect will follow

2 Likes