Aave Deploys V3 Lending Protocol on Monad With 12 Supported Assets

Aave has deployed its V3 lending protocol on Monad, launching with support for 12 assets including USDT0, USDC, Aave stablecoin GHO, USDe, mUSD, AUSD, WETH, cbBTC, wstETH, weETH, syrupUSDC, and sUSDe. According to Foresight News, the deployment also marks the first time Aave has enabled Chainlink’s Smart Value Recapture (SVR) mechanism at launch, which is designed to return part of the MEV value generated during liquidations back to the protocol. Governance documents cited in the report state that the Monad Foundation will provide $15 million in incentive funding during the first 12 months after the project’s launch. The documents also say the foundation agreed to purchase 10 million GHO and hold it for at least six months. The same governance materials indicate that the Aave DAO has committed 500,000 GHO in incentives to support applications on Monad.