Got an Aave Labs new ARFC: planning to use V4 to isolate the Hub/Spoke, so that institutions can continue depositing assets to be held in custody at Anchorage, and then, via Chainlink CustodySync, mint non-transferable CoCT as collateral to borrow stablecoins. The underlying layer won’t move custody; liquidations will go through the custody-side OTC, and it’s physically isolated from existing liquidity pools. They’re also still collecting community input—later there will be a Snapshot/AIP. This path is quite on point for institutions that want to borrow on-chain without having to move custody.

$AAVE $BTC #Aave #Institutional custody