๐ Historic Proposal: Use Native Bitcoin as Collateral on Aave V4 via Babylon!
The Babylon network has published a formal proposal (ARFC) in Aave governance to enable real Bitcoin (Native BTC) to be used as collateral for borrowing on Aave V4, without wrapping it (No Wrapping) or transferring it through bridges (No Bridging).
๐ Proposal highlights:
Self-custody: Use Bitcoin directly on its own network as collateral without handing it over to third parties.
Buyback mechanism: The proposal includes distributing revenue and conducting buybacks of AAVE and BABY tokens.
๐ Impact Analysis:
๐น AAVE ($AAVE ):
Very strongly bullish: Integrating Bitcoin (the largest digital asset) will dramatically boost liquidity and lending volume on the platform. In addition, a mechanism for buying back AAVE will increase demand and buying pressure for the token.
๐น Bitcoin ($BTC ):
Positive long-term impact: Opens up new avenues for Bitcoin DeFi in a secure and direct way.
$AAVE $BABY $BTC
The Babylon network has published a formal proposal (ARFC) in Aave governance to enable real Bitcoin (Native BTC) to be used as collateral for borrowing on Aave V4, without wrapping it (No Wrapping) or transferring it through bridges (No Bridging).
๐ Proposal highlights:
Self-custody: Use Bitcoin directly on its own network as collateral without handing it over to third parties.
Buyback mechanism: The proposal includes distributing revenue and conducting buybacks of AAVE and BABY tokens.
๐ Impact Analysis:
๐น AAVE ($AAVE ):
Very strongly bullish: Integrating Bitcoin (the largest digital asset) will dramatically boost liquidity and lending volume on the platform. In addition, a mechanism for buying back AAVE will increase demand and buying pressure for the token.
๐น Bitcoin ($BTC ):
Positive long-term impact: Opens up new avenues for Bitcoin DeFi in a secure and direct way.
$AAVE $BABY $BTC