The economics behind Aave proposal to ditch 6 chains that earn loose change in revenue
A governance proposal would shut deployments on Sonic, Scroll, zkSync, Metis, Soneium and Aptos, and retire 50 asset markets elsewhere. Deposits on some have fallen more than 90%.
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Summary
- Aave plans to exit six low-usage blockchains, affecting about $98 million in deposits, as part of a broader cleanup of underperforming markets.
- The six chains together account for less than 1% of Aave’s roughly $14 billion in assets and generate under $5,000 in quarterly revenue each, far below the cost of maintaining them.
- Aave will freeze these markets to new activity and make borrowing prohibitively expensive so users unwind positions voluntarily, framing the move as both a cost-cutting and risk-reduction measure.
