Aave Metis V3
01Summary
This proposal activates the Aave V3 pool on the Metis network by listing five assets (WETH, USDC, USDT, DAI, and METIS) with their respective risk parameters as recommended by Gauntlet and Chaos Labs. The activation follows completed governance procedures including forum discussion, snapshot votes, and technical evaluation by BGD Labs.
- Type
- protocol addition
Key changes
- Activate Aave V3 Metis pool (3.0.2) with initial setup and asset listings(high)
- List WETH with 80% LTV, 82.5% liquidation threshold, 50 WETH supply cap, 30 WETH borrow cap(high)
- List USDC with 80% LTV, 85% liquidation threshold, 1,200,000 USDC supply and borrow caps, borrowable in isolation(high)
- List USDT with 75% LTV, 80% liquidation threshold, 1,400,000 USDT supply and borrow caps, borrowable in isolation(high)
- List DAI with 75% LTV, 80% liquidation threshold, 950,000 DAI supply and borrow caps(high)
- List METIS with 7,500 METIS supply cap, 4,000 METIS borrow cap, not usable as collateral(high)
- Grant POOL_ADMIN permissions to asset listing Stewards which will renounce role after individual asset setup(medium)
- Assign POOL_ADMIN role to Aave Guardian multisig for caution during initial weeks(medium)
Notable concerns
- Stable borrowing is disabled for all listed assets despite configured interest rate parameters
- Pool admin permissions temporarily held by Guardian multisig
Generated by Kvorum
02Description
Summary
This proposal allows the Aave governance to activate the Aave V3 Metis pool (3.0.2) by completing all the initial setup and listing WETH, USDC, USDT, DAI, and METIS as suggested by the risk service providers (Gauntlet and Chaos Labs) on the governance forum. All the Aave Metis V3 addresses can be found in the aave-address-book.
Motivation
All the governance procedures for the expansion of Aave v3 to Metis have been finished, said:
- Positive signaling and approval regarding the expansion on the governance forum, temp check snapshot, and final snapshot.
- Positive technical evaluation done by BGD Labs of the Metis network, as described in the forum in detail.
- Positive risk analysis and assets/parameters recommendation by the risk providers Chaos Labs and Gauntlet, as commented on the forum.
Specification
This proposal's payload does the following: grants POOL_ADMIN permissions to all the asset listing Stewards created inside the constructor() of the payload via ACL_MANAGER.addPoolAdmin(stewards[i])
The Steward pattern is taken from V3-listing stewards, already used for the activation of Aave V3 Ethereum. Each Steward will handle the listing of one specific asset and then renounce to the granted POOL_ADMIN role. This process is needed as otherwise, the proposal's gas limit would be really high.
The pool activation will be done via the cross-chain governance with the help of cross-chain forwarder on Ethereum, which on a successful vote by the community, will trigger queuing of the payload action on Metis, which later could be executed by anyone.
Configuration snapshot
What you can see here is a formatted excerpt of the configuration snapshot with the relevant configurations after proposal execution. Although stable borrowing is disabled for all the respective assets, interest rate parameters for stable borrowing have been configured according to the values set in Aave V3 Ethereum. You can find the complete snapshot in the proposal repository.
Reserve Configurations
| symbol | ltv | liqThreshold | liqBonus | liqProtocolFee | reserveFactor | borrowingEnabled | collateralEnabled | stableBorrowing | borrowableInIsolation | supplyCap | borrowCap | isFlashloanable |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| WETH | 80.00% | 82.50% | 7.50% | 10% | 15% | true | true | false | false | 50 WETH | 30 WETH | true |
| USDC | 80.00% | 85.00% | 5.00% | 10% | 10% | true | true | false | true | 1'200'000 USDC | 1'200'000 USDC | true |
| DAI | 75.00% | 80.00% | 5.00% | 10% | 10% | true | true | false | false | 950'000 DAI | 950'000 DAI | true |
| USDT | 75.00% | 80.00% | 5.00% | 10% | 10% | true | true | false | true | 1'400'000 USDT | 1'400'000 USDT | true |
| METIS | N/A | N/A | N/A | N/A | 15% | true | false | false | false | 7'500 METIS | 4'000 METIS | true |
InterestRateStrategies
| assets | baseVariableBorrowRate | variableRateSlope1 | variableRateSlope2 | optimalUsageRatio |
|---|---|---|---|---|
| WETH | 1% | 3.80% | 80.00% | 80.00% |
| USDC | 0% | 4.00% | 60.00% | 90.00% |
| DAI | 0% | 7.00% | 75.00% | 80.00% |
| USDT | 0% | 4.00% | 75.00% | 80.00% |
| METIS | 0% | 7.00% | 300.00% | 45.00% |
Security procedures
The proposal execution is simulated within the tests and the resulting pool configuration is tested for correctness.
The deployed pool and other permissions have been programmatically verified.
In addition, we have also checked the code diffs of the deployed metis contracts with the deployed contracts on Ethereum and other networks.
As a matter of caution, the POOL_ADMIN role will be given for the first weeks to the Aave Guardian multisig.
Deployed Contracts
References
Copyright
Copyright and related rights waived via CC0.
03Mismatch analysis
The proposal contains a single decoded on-chain action: an Ethereum-side execute(address) call targeting a cross-chain forwarder/executor, with the argument being the exact ProposalPayload address (0xF7780A54Ee6f99EE9C028ae552149CFbDDbaDfc4) that the description explicitly lists under 'Deployed Contracts'. This matches the description's stated mechanism: 'the pool activation will be done via the cross-chain governance with the help of cross-chain forwarder on Ethereum... which will trigger queuing of the payload action on Metis.' The granular details described (granting POOL_ADMIN to stewards, listing WETH/USDC/USDT/DAI/METIS with specific caps and rate parameters) are implemented inside the target payload contract's own logic on Metis, not visible in this top-level calldata — this is standard for BGD Labs' cross-chain Aave governance payloads and constitutes legitimate summarization rather than a discrepancy. Since there is only one decoded action and its target matches the address stated in the description, and no funds, roles, or targets diverge from what's disclosed, I find no value, target, or omission discrepancies at the level the calldata exposes. Confidence is medium rather than high because the actual reserve-listing parameters and role grants happen inside the executed payload contract's bytecode, which is not independently decoded here, so those specific details could not be cross-verified line-by-line against calldata.
Generated by Kvorum
04Actions
- Target
- 0x2fe5…c08f
- Value
- 0 wei
- Function
- execute(address)
- Arguments
{ "0": "0xF7780A54Ee6f99EE9C028ae552149CFbDDbaDfc4" }- Calldata
05Tally
Summed from votes
06Voters
| Voter | Choice | % of total | Rationale | ||
|---|---|---|---|---|---|
| 320x329c…3ed4 | For | 229.9K | 35.33% | — | 4y ago |
| 070x0703…961b | For | 108.1K | 16.61% | — | 4y ago |
| 620x62a4…816a | For | 82K | 12.60% | — | 4y ago |
| 130x13bd…8548 | For | 81K | 12.44% | — | 4y ago |
| B80xb83b…cf5c | For | 80.6K | 12.38% | — | 4y ago |
| B90xb933…8dd1 | For | 42K | 6.46% | — | 4y ago |
| 160x1664…36d9 | For | 16.9K | 2.60% | — | 4y ago |
| 5B0x5b3b…7c98 | For | 6.8K | 1.05% | — | 4y ago |
| 180x1855…98ba | For | 3K | 0.46% | — | 4y ago |
| A00xa06c…61f7 | For | 397.7 | 0.06% | — | 4y ago |
| EA0xea17…6676 | For | 38.5 | 0.01% | — | 4y ago |
| 3F0x3f49…6bd9 | For | 15 | 0.00% | — | 4y ago |
| A00xa0ef…2d56 | For | 8.3 | 0.00% | — | 4y ago |
| D60xd6fd…bb6f | For | 0.7 | 0.00% | — | 4y ago |
| E40xe459…e666 | For | 0.5 | 0.00% | — | 4y ago |
07Forum
- Launch Aave V3 on Metis ↗discourse · high confidence
Arguments for
- Metis offers a fast, low-cost, EVM-equivalent L2 with a thriving native ecosystem and revenue-sharing (Builder Mining) that would benefit the Aave DAO treasury.— Metis, aufal42, Rafolos, kambala3000, tobi.krauss
- Supporting Metis aligns with Aave's strategy of diversifying across L2s, which carries lower protocol risk than expanding to new L1s.— MarcZeller, cypherpunk669, Riju
- Metis liquidity and ecosystem activity (DEX volume, TVL) were trending upward due to integrations like Stargate/LayerZero, suggesting future growth potential.— ChaosLabs, cypherpunk669, Riju
- BGD Labs' technical evaluation and ongoing collaboration with Metis found the network's security assumptions comparable to other Optimism-based rollups, supporting proceeding with deployment.— bgdlabs, psinelnikov, Peter88, Metis
- Metis' low and stable transaction fees, engineering roadmap (Bedrock migration, zk-hybrid rollup), and rapid team growth demonstrate serious long-term commitment to decentralization and security improvements.— Peter88, psinelnikov, cypherpunk669, Franco
Arguments against
- Metis' TVL and liquidity are too low to justify the engineering and risk-management overhead of a new deployment, especially during a bear market.— fig, MarcZeller, Kene_Anode, EzR3aL, ghostlyenergy
- Metis lacks working fraud proofs, sequencer rotation, and on-chain data posting, meaning security relies on trusting a single centralized sequencer, unlike claimed 'natively verified' security.— l2beat, wakaflakafi, dey, ken806
- A prior abrupt, poorly-communicated network shutdown/upgrade raised doubts about Metis' decentralization and operational maturity.— wakaflakafi, dey, maxbax, govoja4
- Metis has troubling business-ethics ties, including alleged involvement in the BinaryDAO investor fund-raise scandal, that were never adequately addressed.— Leeroy_Jenkins
- Much of the vocal support appeared to come from low-substance or new accounts, suggesting hype/astroturfing rather than genuine community enthusiasm or need.— fig, anon40760803, vicjo
- A delegate (LBS Blockchain Society) formally voted NO citing unresolved technical concerns about data availability and security assumptions.— lbsblockchain
Unresolved concerns
- Repeated requests for clear timelines and updates from the Metis team went largely unanswered or were vague, causing community frustration well past the proposal's advancement.— dnm, fig
- Allegations regarding Metis' involvement in the BinaryDAO fund-raise scandal and broader business-ethics concerns were raised but never substantively resolved in the thread.— Leeroy_Jenkins
- The exact timeline and on-chain implementation of sequencer rotation and fraud proofs (dependent on the Bedrock migration) remained undefined throughout the discussion.— l2beat, Peter88, psinelnikov
- Post-launch, the community reported that supply caps filled almost immediately and asked about plans to raise caps and deploy promised incentives, but received no concrete answers.— dnm, Metis2
Notable participants
- MetisOriginal proposer team representing the Metis project, providing updates and responding to community concerns throughout.
- psinelnikovMetis technical representative who provided detailed architecture explanations and defended security claims against scrutiny.
- Peter88Metis co-founder who joined to clarify technical details and defend the network's security model against l2beat's critique.
- l2beatIndependent technical analyst who repeatedly challenged Metis' security claims regarding data availability and sequencer decentralization.
- bgdlabsAave's technical partner who managed the governance process, produced the infrastructure evaluation report, and executed the final deployment.
- MarcZellerAave Chan Initiative representative who revived the thread, outlined governance requirements, and gave a mixed (leaning abstain) assessment.
- ChaosLabsRisk assessment provider (with Gauntlet) who delivered market data, liquidity analysis, and recommended risk parameters/caps.
- dnmPersistent community member repeatedly pressing Metis for clear timelines, transparency, and post-launch updates.
- figSkeptical community voice questioning the authenticity of community support and the business case given low TVL.
- Leeroy_JenkinsRaised serious business-ethics concerns linking Metis to the BinaryDAO investor scandal.
Generated by Kvorum
08Similar proposals
- aaveexecutedAave Ethereum V385%
- aaveexecutedAave v3 Gnosis Activation85%
- aaveexecutedAave V3.6 MegaETH Activation82%
- aaveexecutedAave v3 Base Activation81%
- aaveexecutedAave v3 BNB Activation80%
- aaveexecutedAave v3 Linea Activation79%
- aaveexecutedAave V3.3 Soneium Activation78%
- aaveexecutedAave V3.3 Celo Activation78%
- aaveexecutedAave V3.5 Plasma Activation78%
- aaveexecutedAave v3 zkSync Activation77%