rewrite this title ACI Publishes Proposal To Integrate USDtb Into Aave V3 Core Instance

by
Alisa Davidson

Published: March 25, 2025 at 10:45 am Updated: March 25, 2025 at 10:37 am

by Ana

Edited and fact-checked:
March 25, 2025 at 10:45 am

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Growth and business development service provider of the decentralized finance (DeFi) lending protocol Aave, Aave Chain Initiative (ACI) released a temperature check proposal to integrate USDtb into the v3 Core Instance with borrowing enabled and collateral disabled. 

USDtb is a blockchain-based stablecoin pegged to the US dollar, providing the same utility as traditional dollars for sending payments, trading assets, or holding value. Unlike physical dollars, USDtb operates on a blockchain, offering faster and cheaper transactions than traditional banking. What sets USDtb apart is that it is fully backed by institutional-grade tokenized US treasury fund products, as well as a stablecoin reserve designed for quick redemptions, ensuring stability. Initially, USDtb will be supported by BlackRock’s USD Institutional Digital Liquidity Fund Token, known as BUIDL.

By adding USDtb, Aave aims to generate deeper borrowing liquidity, specifically facilitating sUSDe leverage at attractive borrowing rates. This move is expected to stimulate growth and activity in sUSDe on the Core Instance. Given that USDtb is backed by BUIDL, a product issued by BlackRock—one of the largest asset managers globally—this asset is viewed as highly compatible with Aave’s goal of providing liquidity to the highest quality assets in DeFi and is anticipated to attract large deposits. 

According to the document, decentralized protocol Ethena plans to deposit a substantial amount of USDtb.

Proposal Workflow: From Snapshot To ARFC And On-Chain AIP Vote For Final Confirmation

If consensus is reached on this proposal it will proceed to the Snapshot stage. If the Snapshot outcome is affirmative, the proposal will then move forward to the Aave Request for Comment (ARFC) stage. Following the publication of a standard ARFC, feedback will be gathered from the community and service providers before progressing to the ARFC snapshot stage. If the ARFC snapshot results in a “YAE,” a formal proposal payload submitted on-chain AIP vote will be published for final confirmation and the enforcement of the proposal.

Aave enables users to lend and borrow cryptocurrencies. The V3 Core Instance acts as the primary contract that governs the protocol’s operations, including asset management and transaction facilitation. This core contract is essential to Aave’s functionality, supporting key features like cross-chain compatibility and enhanced capital efficiency.

About The Author

Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.

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Alisa Davidson

Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.

More articles