[TEMP CHECK] stEUR Onboarding on Aave V3 Ethereum Pool

title: [TEMP CHECK] stEUR Onboarding on Aave V3 Ethereum Pool
author: @marczeller - Aave-chan Initiative
date: 09-10-2023


This TEMP CHECK proposes the onboarding of stEUR as a collateral-only asset on the Aave V3 Ethereum Pool. stEUR represents staked agEUR, a decentralized EUR-peg stablecoin minted by the Angle Protocol.


  • Decentralized Stablecoin Diversity: At the ACI, we support the diversity of decentralized stablecoins. EUR stablecoins, in particular, are underrepresented in the ecosystem, and onboarding stEUR can help bridge this gap.

  • Growth in a Controlled Environment: While stEUR and agEUR have relatively small market caps (5M$ and 20M$ respectively), onboarding stEUR as a collateral-only asset with limited caps will allow it to grow in a controlled environment, minimizing risks for the Aave protocol.

  • Collateral Potential: stEUR, being a staked version of a decentralized EUR-peg stablecoin, presents a promising collateral candidate for Aave.


  • Asset: stEUR
  • Contract Address: 0x004626A008B1aCdC4c74ab51644093b155e59A23

Price Feed

For the price feed, we propose implementing a price adapter that calculates the value of stEUR based on the value of agEUR/USD and the exchange rate of agEUR/stEUR.

This replicates precedents such as with sDAI.

Risk Parameters

We propose the following parameters for stEUR onboarding:

Parameter Value
Isolation Mode No
Borrowable No
Borrowable in Iso No
Stable Borrowing No
Collateral Enabled Yes
Supply Cap (stEUR) 3,000,000
Borrow Cap (stEUR) 0
Debt Ceiling N/A
LTV 70%
LT 75%
LB 8%
LPF 10%
Reserve Factor 20%
Base Rate 0%
Slope 1 8%
Slope 2 80%
Optimal Ratio 80%

Next Steps

  1. Gather community feedback on this TEMP CHECK.
  2. If consensus is reached, escalate this proposal to TEMP CHECK snapshot stage.
  3. If TEMP CHECK snapshot outcome is YAE, escalate to ARFC stage.
  4. If consensus on ARFC stage is reached and risk service providers provided feedback on risk parameters, escalate to ARFC snapshot stage.
  5. If ARFC snapshot stage outcome is YAE, escalate to AIP stage.


The Aave-chan Initiative is not presenting this TEMP CHECK on behalf of any third party and is not compensated by Angle for creating this TEMP CHECK.


Copyright and related rights waived via CC0.


Hey @MarcZeller, we’re supportive of this listing but curious on why agEUR is not included as well?


the agEUR has better use-case & potential synergies on L2s, especially in polygon & upcoming Gnosischain deployment.


We support the addition of stEUR to Aave V3 Ethereum and the stablecoin diversity it brings to Aave, not to mention its underlying yield!

Disclaimer: Wintermute is an investor in Angle Protocol.

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