rsETH E-Mode on Aave: $1.​1B Liquidity, 14x Leverage, 9% Rewards Now Live

🔥 14x rsETH leverage unlocked

By KelpDAO
Feb 9, 2026, 3:43 PM
twitter

Major capital efficiency unlock for rsETH holders on Aave v3 Core market:

  • E-Mode activation enables rsETH <> ETH loops at up to 93% LTV (previously capped at lower ratios)
  • 14x leverage now possible in one click via Contango integration
  • ~$1.​1B ETH liquidity available to borrow on Core market
  • Current conditions deliver ~9% rewards on leveraged ETH exposure
  • rsETH supply on Aave Core crossed $1B, making it the #8 largest asset on the platform

Key improvements:

  • Tighter loops with less idle capital
  • Competitive borrow rates even near utilization kink
  • One-click execution removes manual looping friction
  • Cross-chain expansion: $65M+ supply on Avalanche and Base markets

Risk reminder: Higher leverage amplifies both returns and liquidation risk.​ E-Mode works best for correlated assets but requires active position management.​

Start looping on Aave

Sources

This is huge for rsETH🍀 @Contango_xyz just enabled E-Mode looping, taking rsETH leverage from ~3x up to 14x in one click. No more manual looping. Just instant leverage.

Contango 💃🏾
Contango 💃🏾
@Contango_xyz

rsETH from @KelpDAO just upgraded to emode on @aave. You can now crank up leverage to almost 14x. Plus, this loop can easily take 5000 ETH and still spit out a 7% ROE.

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