Aave is exploring launching an MVP of Aave v3 on Polygon’s planned zkEVM Layer 2 network.
The protocol said it intended to establish a strategic presence on the Layer 2 network shortly after the March 27 launch of its mainnet beta.
Aave is exploring launching a minimum viable version (MVP) of Aave version 3 on Polygon’s planned zkEVM Layer 2 network.
The plan from Aave’s integrations leads Marc Zeller to aim to build a strategic Aave presence on the new network as soon as possible after the March 27 launch of the mainnet beta. It is now undergoing a “temperature check.”
The suggestion involves restricting the onboarding of assets and establishing conservative risk guidelines to decrease risk. It proposes onboarding just three forms of collateral: wrapped ETH (WETH), wrapped MATIC (WMATIC), and USDC stablecoin. It also offers just incorporating the USDC stablecoin as a borrowable asset.
The proposal also states that it intends to build the basis for releasing Aave’s GHO stablecoin on the zkEVM, should the governance in the future explore this option.
Polygon’s zkEVM will be a zero-knowledge or ZK-rollup that conducts off-chain calculations on a secondary layer enabling quicker, cheaper, and more secure transactions. The goal is to enhance the scalability capabilities of the Ethereum network significantly.
Polygon claims that its zkEVM will be identical to Ethereum’s Virtual Machine, suggesting that the network will support the same code as Ethereum. This will enable developers to use Ethereum applications on the zkEVM network without considerable modification.
Aave has a history of collaborating extensively with core teams to create its lending protocol, notably on the Polygon and Avalanche blockchains in 2021. The extension of Aave onto the Polygon sidechain network (different from zkEVM) in 2021 was crucial to the network’s increasing activity.
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