🚀 AAVE EXPANDS CREDIT: 🌐 V4 arrives on Avalanche with a new architecture for institutional markets. @Aave has officially activated its V4 version on the Avalanche network, marking the first deployment of this new generation of decentralized lending infrastructure outside Ethereum’s mainnet. The rollout introduces a new approach to liquidity management through a “Hub-and-Spoke” architecture. Instead of maintaining isolated liquidity markets, Aave V4 centralizes liquidity through a core Hub on each chain while distributing execution across modular Spokes with customized risk parameters. This design aims to improve capital efficiency across decentralized finance by allowing liquidity to be managed more efficiently while each market maintains its own collateralization rules and risk controls. The first specialized market planned for Avalanche will focus on tokenized real-world assets (RWA). The structure is designed to allow financial institutions to use assets such as corporate bonds, money market funds and U.S. Treasuries as collateral to access onchain credit. The expansion comes as Aave works to bring DeFi infrastructure closer to institutional users by combining shared liquidity, modular risk management and compatibility with traditional assets. The Avalanche deployment will serve as an evaluation phase before further multichain expansions to networks such as Arbitrum, Optimism and Base. With Aave V4, the protocol is positioning itself for the next stage of decentralized lending, where blockchain infrastructure can connect open liquidity with institutional financial requirements.