Aave plan could cut some lenders’ share of interest by 60%
Summary
TokenLogic proposed raising reserve factors across 54 reserves in 12 Aave V3 deployments and Ethereum V2, shifting more borrower interest from suppliers to Aave’s DAO treasury. Its model estimates about $4 million in additional annualized revenue, including a conditional $1 million from Plasma USDT0. Polygon DAI suppliers could see their share of borrower interest fall from 75% to 30%, with modeled supply APY down 2.70 percentage points. Effects vary by reserve; some near-zero-yield collateral markets would see minimal cuts despite 100% factors. Estimates use fixed November 9 balances and rates, and supplier responses could change outcomes. The proposal is awaiting feedback before possible escalation to the Aave Improvement Proposal stage.
