EtherFi Proposes Aave V4 Instance Deployment on OP Mainnet to Support EtherFi Cash

EtherFi submitted a Temp Check proposal on the Aave governance forum, suggesting the deployment of a white-label Aave V4 instance independently operated by EtherFi on the OP Mainnet, serving as the credit backend for its Visa card product, EtherFi Cash. This instance will operate under an isolated whitelist model, fully managed by EtherFi, while Aave will provide deployment and operational permissions for V4 and share revenue without assuming daily risks. The commercial terms include an 80-20 revenue share of reserve fees between EtherFi and Aave DAO, with GHO becoming the supply and lending reserve asset for this instance after its launch on OP Mainnet. EtherFi is expected to launch with up to $175 million in assets, with the Optimism Foundation providing $20 million in supply and a $1.2 million incentive program. Currently, EtherFi Cash has active lending of about $25 million, aiming for the asset scale of this instance to reach $500 million by the end of 2026, with the proposal estimating annual revenue for this instance to be between $5 million and $6 million. The proposal is currently in the Temp Check phase, and if approved, will move into the ARFC detailed parameter phase, aiming for deployment in July 2026.

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