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Aave to deprecate 50 low-adoption reserves and wind down six chains
The changes would affect $98.1 million in supplied assets and $15.6 million in outstanding debt, with reserve factors rising and suppliers earning less as supply and borrow caps fall to 1.
Aave, the largest DeFi lending protocol, is moving to deprecate 50 low-adoption asset reserves and fully wind down deployments on Sonic, Scroll, zkSync, Metis, Soneium, and Aptos, according to a governance proposal posted Wednesday.
The plan targets $98.1 million in supplied assets and $15.6 million in outstanding debt, accounting for less than 1% of Aave deposits, DefiLlama data cited by The Defiant shows. The individual reserve removals also include 21 matured Pendle principal tokens across eleven deployments, which together hold $85.3 million in supply, while the six whole-market shutdowns add 25 reserves and $12.8 million.
Under the proposal, each retiring reserve would be frozen, supply and borrow caps would drop to 1, and reserve factors would rise, so suppliers earn less and withdraw while borrowers are expected to repay. The six retiring deployments would see reserve factors rise to 99%, alongside a 5% base borrow rate, and LlamaRisk applies the same market-wide treatment on those chains.
The Defiant also reports that deposits have already fallen sharply on the chains slated for exit, including Sonic down 74% to $7.6 million, Scroll down 86% to $2.2 million, zkSync down 88% to $844,000, and Soneium down 95% to $173,000, with each generating under $5,000 per quarter in protocol revenue. Aave founder Stani Kulechov said the goal is to reduce Aave's operational, technical, and economic risk surface so the protocol can focus on expanding higher-value markets and on securities finance, while noting the move should not be interpreted as a view on any layer 1 or layer 2 network.