Aave Raises USDe Supply Cap to 100M on MegaETH Market
Aave Raises USDe Supply Cap to 100M on MegaETH Market
馃殌 Aave Expands USDe Limits

Aave has increased the USDe supply cap to 100 million on its MegaETH market, responding to strong demand.
Key Details:
- USDe, provided by Ethena, is available on the market
- Caps have been filling quickly since incentives launched
- USDm incentives are now live on the same market
This follows a pattern of Aave expanding supply caps when utilization remains high, similar to previous increases for USDS which reached 200M after sustained demand.
USDe supply caps on Aave's @megaeth market have been raised to 100M. Aavethena.
Arbitrum DAO Votes on Frozen ETH Release for rsETH Recovery
The Arbitrum DAO is now voting on whether to release ETH frozen by its Security Council following the April 18 rsETH bridge exploit. The funds would go to **DeFi United**, a cross-protocol recovery initiative led by Aave service providers. **Key Details:** - Snapshot vote is live for the first round - Released funds would support restoring rsETH's backing - Multiple protocols have committed to the recovery effort, including LayerZero, Lido, EtherFi, and Ethena - Aave DAO separately proposed contributing 25,000 ETH **Background:** The rsETH markets were frozen across Aave V3 and V4 after the Kelp DAO bridge exploit. While rsETH on Ethereum mainnet appears fully backed, the incident created potential bad debt scenarios. DeFi United represents a coordinated response to restore market conditions and protect affected users. The proposal marks a test of cross-protocol cooperation in DeFi crisis response. [Vote on Snapshot](https://snapshot.org/#/s:arbitrumfoundation.eth/proposal/0xb32581468bece42245fa267ea86156a621ae77f61bb866118189b5d50155b051)
Aave Pro Interface Launches for V4 Protocol
Aave has launched **Aave Pro**, a new interface for interacting with Aave V4 Protocol. **Key features include:** - Earning and borrowing capabilities - Token swapping functionality - Position monitoring tools The interface is now available at [pro.aave.com](https://pro.aave.com/) This follows the V4 testnet launch in November 2025, which included a developer preview of the Pro interface. The full announcement details are available on the [Aave blog](https://aave.com/blog/aave-v4-live-ethereum). Aave Pro provides users with a streamlined way to access V4's liquidity protocol features through a web-based interface.
馃攳 Aave V4 Opens Security Review
**Aave V4** has entered its **open security review phase** on Sherlock DeFi, marking a key milestone in the protocol's development. The review invites participation from: - Previous Aave auditors - Developers familiar with lending-pool mechanics - Security researchers interested in DeFi protocols This follows Aave Labs' September roadmap announcement, which outlined the final stages before V4's launch including public documentation, testnet deployment, and codebase release. The open review represents a **community-driven approach** to protocol security, allowing experienced auditors to contribute to one of DeFi's most significant upgrades.
Sherlock Audit Contest 1209 Now Live
A new audit contest is available on Sherlock's platform. Security researchers and auditors can participate in **Contest 1209** to identify vulnerabilities and earn rewards. - Contest accessible at [Sherlock platform](https://audits.sherlock.xyz/contests/1209) - Open for community participation - Part of ongoing security review process This follows previous contest activity, indicating continued focus on protocol security through community-driven auditing.