Aave v3 BNB Activation

Aave v3 BNB Activation


BGD Labs (@bgdlabs)



Simple Summary

This proposal allows the Aave governance to activate the Aave V3 Bnb pool (3.0.2) by completing all the initial setup and listing CAKE, WBNB, BTCB, ETH, USDC and USDT as suggested by the risk service providers engaged with the DAO (Gauntlet and Chaos Labs) on the governance forum.

All the Aave Bnb V3 addresses can be found in the aave-address-book.


All the governance procedures for the expansion of Aave v3 to Bnb have been finished, said:

  • Positive signaling and approval regarding the expansion on the governance forum, temp check snapshot, and final snapshot.
  • Positive technical evaluation done by BGD Labs of the Bnb chain network, as described in the forum in detail.
  • Positive risk analysis and assets/parameters recommendation by the service providers Gauntlet and Chaos Labs.


The proposal will do the following:

  • Set risk steward and freezing steward as the risk admin by executing ACL_MANAGER.addRiskAdmin().
  • Set the guardian address as the pool admin by executing ACL_MANAGER.addPoolAdmin(). This is following the standard procedure of keeping pool admin on the Aave Guardian during the bootstrap period, for security.
  • Set the new pool impl by executing ADDRESSES_PROVIDER.setPoolImpl() to align with the current implementation on all networks.
  • List the following assets on Aave V3 Bnb: CAKE, WBNB, BTCB, ETH, USDC and USDT.

The table below illustrates the initial suggested risk parameters for each asset:

Asset Listing Configurations:

Loan To Value55%70%70%80%77%75%
Liquidation Threshold61%75%75%82.5%80%80%
Liquidation Bonus10%10%10%10%5%5%
Reserve Factor20%20%20%15%10%10%
Liquidation Protocol Fee10%10%10%10%10%10%
Supply Cap5,000,00050,0004004,00050,000,00050,000,000
Borrow Cap2,250,00022,5001805,00045,000,00045,000,000
Base Variable Borrow Rate0%0%0%0%0%0%
Variable Rate Slope17%7%7%3.30%6%6%
Variable Rate Slope 2300%300%300%80%60%75%
Stable Rate Slope 17%7%7%4%6%6%
Stable Rate Slope 2300%300%300%80%60%75%
Base Stable Rate Offset2%2%2%2%1%1%
Stable Rate Excess Offset8%8%8%8%8%8%
Optimal Stable To Total Debt Ratio20%20%20%20%20%20%
Debt Ceiling$7M$0$0$0$0$0
Enable BorrowYesYesYesYesYesYes
Isolation ModeYesNoNoNoNoNo
Enable CollateralYesYesYesYesYesYes
Borrowable In IsolationNoNoNoNoYesYes
Stable BorrowNoNoNoNoNoNo
Siloed BorrowingNoNoNoNoNoNo
E-mode Category Id000000


The proposal execution is simulated within the tests and the resulting pool configuration is tested for correctness.

The deployed pool and other permissions have been programmatically verified.

In addition, we have also checked the code diffs of the deployed base contracts with the deployed contracts on Ethereum and other networks.

As a matter of caution, the POOL_ADMIN role will be given for the first weeks to the Aave Guardian multisig.



Copyright and related rights waived via CC0.

by BGD Labs