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Aave proposal would exit low-usage chains, freezing new activity

The plan targets six deployments, tied to about $98 million in deposits, where deposits have dropped at least 74% over six months.

Reported · Written up by our desk · DeFi

Aave is considering a governance proposal to exit six lower-usage blockchain deployments and clean up related asset markets, affecting about $98 million in deposits, according to CoinDesk. The move is framed as a cost-cutting and risk-reduction step, with the protocol arguing that the affected markets are too small to justify the operational cost of running them.

Under the proposal, Aave would shut down its presence on Sonic, Scroll, zkSync, Metis, Soneium, and Aptos, freeze those markets to new activity, and make borrowing prohibitively expensive so users unwind positions voluntarily. The plan also includes retiring low-adoption asset markets, along with 21 expired Pendle principal tokens across 11 Aave deployments.

CoinDesk reports that each of the six deployments generates under $5,000 in quarterly revenue, far below what Aave estimates it costs to maintain price feeds, liquidation systems, and monitoring. For example, Metis, Soneium, and Aptos each bring in under $1,000, while Aave’s Ethereum mainnet deployment generates more than $142 million a year.

The article adds that deposits across the six chains have fallen sharply over the past six months, including Sonic down 74% to just under $8 million, Scroll down 86% to about $2 million, and zkSync down 88% to roughly $844,000. Together, the six hold about $13 million in deposits against Aave’s roughly $14 billion across 23 chains, or less than 1% of protocol assets.

Latest closeEthereum $1,920.81 ▲0.6%

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