Aave is thinking about joining the Base network supported by Coinbase
As a Layer 2 blockchain solution supported by Coinbase, Aave is thinking about deploying its V3 on the new Base network.
Financed venture The Aave governance forum is now debating whether or not to adopt the proposal to deploy Aave version 3 on Base, Coinbase’s Layer 2 blockchain.
Francis Gowen, a protocol expert at the analytics business Flipside Crypto and a delegate and contributor to Aave, proposed the change on Wednesday. The first “temperature check” phase allows members of the Aave community to submit input.
Gowen provided proposed risk criteria for assets to be deployed on Base in the proposal. If the idea receives enough yes votes in this round, it will go on to the next step, where its merits will be debated and its risks evaluated. If the idea is approved, it will go through a final round of voting on the blockchain and then be ready for implementation.
Integrating Aave with the audience, as proposed by Gowen, has the potential to open up new income sources and introduce the project to a wide user audience, an expectation supported by the high level of developer engagement seen in Base’s early stages. Some examples of this growth potential include the 18,000 developers who have already implemented 55,000 smart contracts on the testnet.
The Aave protocol, now in its third major version, is a decentralized, non-custodial liquidity market system that allows users to lend, borrow, and earn interest on a wide variety of cryptocurrencies and tokens, including stablecoins.
The Base network, which is now in the testnet phase, would benefit from the idea if it were approved. The project was first released in February, and a mainnet launch is scheduled for later in 2018. Uniswap, the biggest decentralized exchange, began discussions on an expansion to Base a week before Aave’s proposal.
The Base network, developed on the OP Stack and supported by Coinbase, is a roll-up network that uses off-chain calculations on a secondary layer to provide quicker, cheaper transactions while preserving the security advantages of Ethereum’s mainnet. It’s meant to be an efficient Layer 2 that hosts Coinbase’s on-chain offerings at a reasonable price.