I currently have a fairly large leveraged position on Aave v4 Main Hub, with WBTC, wstETH, ETH and LINK as collateral.
After comparing the risk parameters, I’ve noticed that Bluechip Hub offers significantly higher collateral factors / liquidation thresholds for the assets that make up most of my collateral (particularly WBTC and wstETH). I’d like to migrate my existing position from Main Hub to Bluechip Hub, but I couldn’t find any documentation describing the process.
My questions are:
Is there currently a supported way to migrate an existing position from Main Hub to Bluechip Hub?
Is there an atomic (flash-loan) migration path, or does it require manually repaying debt, withdrawing collateral, redepositing into Bluechip, and borrowing again?
Does Aave have any plans to support one-click migrations between hubs in the future?
If no migration path exists today, what is the safest recommended approach for moving a large leveraged position while minimizing liquidation and market-exposure risk?
For context, this is a six-figure borrowing position, so I’m trying to avoid any unnecessary execution risk during the migration. I would rather not manually unwind the position as I don’t intend selling collateral assets at this time.
Any guidance from the Aave team or anyone who has done this would be greatly appreciated.
Currently there are no automated tools for migrating positions between Hubs and Spokes, however this feature is going to be build in few months.
What you are looking to do is to migrate some of your position from Main Spoke (connected to Core Hub) to Bluechip Spoke (connected to Prime Spoke). Given you mentioned that you have LINK, that is only supported on Main Spoke as collateral, so you would need to split your position between two markets (the reason why Bluechip has better LTVs/ liquidator params is because it has less riskier collaterals).
For now I recommend to do the migration manually by repaying the loan, withdrawing collateral and resupplying into the Bluechip Spoke. You would still need to keep your LINK on Main Spoke if you want to borrow against it.
Happy to take a deeper look if you drop a message to Customer Support (you can find it on the side menu).
Aave v4’s hub‑and‑spoke architecture successfully achieves risk segregation, but the absence of cross‑hub migration tooling introduces UX‑driven risk for large retail and LP positions. Zataoka’s case is an early signal of this structural issue for the protocol and its governance roadmap.
governance.
Thank you for the detailed response Stani. I will write to your customer service (usually access Aave through defisaver.com but will get onto the aave platform.
Hi Stani — just following up on this now that it’s been a little over two months since the original discussion.
Is there any update on the timeline, particularly for migrating an existing leveraged position from Main Spoke to Bluechip Spoke? I did write to customer support earlier as well as you mentioned
I’ve already used DeFi Saver’s Loan Shifter to migrate my positions from V3 to V4, but as far as I can see there still isn’t an equivalent V4 Main → Bluechip migration route.
Given the size of the position, manually repaying the debt, withdrawing collateral and rebuilding the position isn’t really practical, so an atomic/flash-loan migration would be extremely useful
Has this functionality been released, is it currently being worked on, or is there an updated ETA?
I’m part of the DeFi Saver team, so just wanted to drop by and offer some suggestions, along with explanations on how the migration process works.
Our Loan Shifter tool is indeed available for moving positions from one Aave v4 market to another, so it can definitely take care of migrating your position from the v4 Main to the v4 Bluechip Spoke.
The only limiting factor (currently) is if your v4 position is on an EOA and not a Smart Wallet. Currently, Loan Shifter only works for positions on a Smart Wallet - but we’ll soon make it compatible with EOA positions as well.
So, if your position is indeed on an EOA at the moment - you’ll be able to move it via Loan Shifter in about a week or so (when we release the Loan Shifter updates).
As a quick sidenote, here’s how Loan Shifter performs the move atomically:
→ It flash loans all of the required debt to clear your v4 Main position’s debt
→ It withdraws the collateral
→ It supplies that collateral to the v4 Bluechip market
→ Borrows the debt asset
→ Uses it to pay back the flash loan
In case your position is on a Smart Wallet, you should be able to perform the move by:
Accessing Loan Shifter
Under “From Position”, click it and it should bring up all of your positions (including the v4 Main one)
Under “To Position”, type in “Bluechip”, and it’ll let you select the Aave v4 Bluechip market as the destination.
Click “Shift”
And that’s all the required steps to get your loan moved from one market to the other.
Will write a follow-up comment here as soon as the EOA update is live, or you can drop by our Discord/Twitter to also get notified as soon as we announce it.
Hello Milos.. thank you so much for taking the time to give me that detailed answer, I truly appreciate it.
I have always used Defisaver, btw. So, have great appreciation for the work your team does.
My 2 positions are both on Smart Wallets (at least, that’s what it says). It does not say EOA.
However, I do NOT see the loan shifter there (only see collateral shift, debt shift and position flip). Not sure what I am doing wrong. Here is the ETH address for 1 of my positions. 0xd9bc3cbc14df4d9f2e94edafaa9b9ea68a42a014
Can you please check this out and let me know why I am unable to see it?
You’re very welcome Zataoka! Also appreciate your kind words for the DFS app :)
Good news that your positions are on a Smart Wallet.
Loan Shifter shows up under the “Shift” tab only on Aave v3 currently, but we’ll make sure it’s also included on the v4 dashboard soon!
Instead, you can find the Loan Shifter option from the menu on the left-hand side of the app - just under the “Exchange” tool.
Once you’ve opened it, if it’s not already pre-selected, please choose your Main v4 position in the “From position” section. Then, you’ll choose “Bluechip” in the “To position” section.
Important note: The position you shared has multiple collateral and debt assets, so I would mention that Loan Shifter won’t be able to move it all in one transaction.
Instead, it’ll require a couple. The best option I found is:
Transaction 1: Move all of your WBTC and your USDT debt to the Bluechip market first. This is the best course of action since WBTC makes up most of your position, so it’ll let you move all of the USDT in one transaction. For example if you try to move your wstETH and USDT, there won’t be enough wstETH collateral to support moving all of the 300k+ USDT. By moving WBTC and USDT first, you’re taking care of that in one-tx
Transaction 2: Move all of your wstETH and your USDC debt to the Bluechip market. Even though it’s two separate Loan Shifter transactions, it’ll actually add the wstETH collateral and USDC debt on top of your newly moved WBTC/USDT Bluechip position
Transaction 3: Since all of your debt has moved to the Bluechip market now, you can simply withdraw your remaining LINK and ETH collateral, then supply it to the position again on Bluechip
Let me know if this is clear enough. You can also contact me by writing directly through the DFS app, where I’d be more than happy to provide a step-by-step guide with screenshots on how to get the process done.
P.S. - You can also do the entire move in our Simulation Mode first - confirm that everything works (and that you’re comfortable with the flow), and only then re-do it on the live mode.
Thanks Milos.. I was able to do the switch and it all went smoothly. Appreciate it.
Let me ask you a couple of questions, if I may
Why is there such a huge difference in borrowing costs between USDT on the Core vs. Prime hub? I moved my debt to USDT on the core hub and the interest rate there is 10.6% vs. 4.05% (core vs. prime).
Because of the above, I am trying to do the debt switcher to Prime (from Core) but it doesn’t let me do that.
I have retained some portion of the debt with all my LINK as collateral on V4 Main.. hope that is fine? Or should I be removing that you think, given LINK isn’t a collateral asset on Bluechip.
You’re welcome Zataoka! Apologies for the slightly delayed reply here.
Let me address the questions one by one:
It might have been due to a higher utilization rate on Core that caused the borrow APY spike. I can see now that both are pretty much at an equal ~4%
Would love to learn a bit more about Debt Switch “not letting you do it”. Is there some kind of error that pops up, is the button to switch just greyed out?
Is your LINK leveraged on v4 or is it just sitting there? From what I can see, you’re not going to be earning any supply APY on that LINK, so you’re technically just paying the borrowing costs on that LINK + USDC (I suppose) v4 Main position.