Aave V4 Introduces Unified Liquidity Architecture with Hubs and Spokes System
Aave V4 Introduces Unified Liquidity Architecture with Hubs and Spokes System
🔗 Aave's liquidity revolution

Aave V4 transforms DeFi lending with a revolutionary architecture that unifies liquidity across markets.
Key Innovation: Hubs and Spokes
- Hubs store liquidity pools
- Spokes implement custom lending rules and market logic
- Multiple markets can draw from the same liquidity source
Benefits for Users and Builders:
- Enhanced capital efficiency across all markets
- Specialized markets can access deep liquidity from day one
- Custom lending parameters without liquidity fragmentation
Real-World Applications:
- Pendle markets accepting multiple PTs as collateral
- Uniswap LP-focused lending markets
- Shared ETH liquidity across different use cases
Strategic Impact: V4 positions Aave as DeFi's operating system, enabling previously unviable markets while maintaining security and efficiency.
This architecture supports the migration of global finance onchain by serving specialized needs without sacrificing liquidity depth.
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.
🔍 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.
MetaMask's mUSD Stablecoin Now Available for Lending on Ethereum and Linea
**MetaMask's mUSD stablecoin** has been listed on Ethereum Core and Linea Build markets, expanding lending options for users. - Users can now **supply and borrow mUSD** on both platforms - This marks continued expansion for mUSD, the first stablecoin from a self-custodial wallet - Previously announced integration with Linea ecosystem for seamless on-ramps and swaps The listing provides new **DeFi lending opportunities** with MetaMask's native stablecoin across multiple networks.
Aave Unveils V4 Liquidation Engine After Processing $3.3B in Liquidations
**Aave has processed over $3.3 billion in liquidations** since launch to protect its lending protocol from bad debt. The DeFi protocol published a detailed blog post introducing **V4's new liquidation engine** and explaining improvements over the current V3 system. - Liquidations serve as a critical safety mechanism for lending markets - V4 aims to enhance the liquidation process with new technical improvements - The upgrade represents Aave's continued focus on protocol security Read the full technical breakdown: [Aave V4 Liquidations Blog](https://aave.com/blog/aave-v4-liquidations?utm_source=x&utm_medium=post&utm_campaign=liquidations)