ether.fi Proposes Dedicated Aave V4 Instance on Optimism Mainnet to Support ether.fi Cash

ether.fi has submitted a temperature check proposal to the Aave community to deploy an ether.fi-managed, dedicated Aave V4 white-label instance on the Optimism mainnet to support ether.fi Cash governance. According to Foresight News, the proposal asks to use this instance as the credit backend for ether.fi Cash. The plan would replace the customized lending market currently supporting Cash and operate under an isolated, whitelist-managed model. Under the proposal, ether.fi would handle end-to-end operations, including configuration, risk parameters, liquidity, and business growth, while Aave would provide V4 deployment and operating authorization and receive a corresponding share of revenue. The proposal states that because the instance would be isolated and managed by ether.fi, Aave could share in revenue without taking on the market’s day-to-day operational risk. The proposal also includes a commercial arrangement backed by ether.fi and the Optimism Foundation. It outlines allocating a 20% revenue share to the Aave DAO, integrating GHO into ether.fi Cash, deploying an Aave-managed GHO GSM on the Optimism mainnet, fully migrating the ether.fi debt manager, targeting up to $175 million in assets at launch, and granting product exclusivity rights related to Aave V4.