Aave founder Stani said on X that Aave V4’s Hub and Spoke are isolated by default based on risk conditions, but markets with similar risk profiles can share liquidity through the Hub within set limits to improve capital utilization and efficiency. According to Odaily, he said fully isolating liquidity could fragment funds, reduce utilization, and raise user costs.

Stani also said V4 has attracted about $1.2 billion in deposits and has been deployed on Ethereum, Avalanche, and Arc, while supporting third-party curators such as EtherFi. He added that V4’s codebase is significantly smaller than Aave V3’s and that Spokes can directly use Hub liquidity without having to build it from scratch like traditional curated vaults.