Aave Weighs $50M Institutional Lending Push With Dual Collateral Risk
- —$50M requested: 25M GHO plus up to $25M USDC/USDT against DAO assets
- —Indicative demand near $300M, with a $20M lead BTC facility
- —Borrower pricing of 6–8% APR versus roughly 4.5% funding costs
- —Initial LTVs of 60–75%; borrower collateral will not be rehypothecated
Why it matters: A drop in BTC, ETH or AAVE prices could weaken both collateral books at once, while rising stablecoin rates would narrow the DAO's spread.
Source: CryptoSlate