Limitations of a Market for UNI-V2 Collateral Be Created?

Hey folks!

The migration’s going on right now, but I still wanted to get the discussion started in regards to implementing a Uniswap-V2 market on Aave. As of now, we can deposit our UNI-V1 tokens in their respective market.

Anyway, I was wondering if anyone more well-versed in the intricacies of Aave’s contract code and limitations could answer these two questions:

  1. Does the implementation of different markets (like what was done with UNI-V1 and soon SETs) have a negative impact on the gas fees (as is the case with each additional added collateral) of all Aave markets?

  2. Are there technical limitations in regards to the structure of the UNI-V2 tokens that could cause an issue with Aave integration; in other words, Is it possible?

Lastly, if this integration would be deemed more beneficial than detrimental, what do you guys think the consequences of implementing UNI-V2 tokens as collateral on Aave would be?

Thanks in advance for your input!


Uniswap v2 market is something that Aave team can deploy with the v2 of the protocol if the there is enough support from the community. Here are some answers:

  1. No negative effects as the markets are deployed on their own smart contracts, meaning that gas cost will not increase for other markets

  2. Not any technical limitations that I would see at the moment, so Uniswap v2 market is possible :)

  3. As it could be added as a separate market (as was done with Uniswap v1 money market) it does not add additional risk to the main or other markets. Also interesting note is that with stablecoin LP pairs there is actually less volatility and less market risk in that sense. Hence they are quite interesting assets as collateral.


for me this is a green light, bring it on.

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