Aave V3 is now live on Sonic, a rapidly growing, high-performance Layer 1 blockchain from the creators of Fantom. This is Aave’s first L1 deployment of 2025. This deployment marks a step in Aave’s journey of expanding its reach across emerging blockchains and driving growth for the Aave ecosystem.
Sonic went live in December 2024 and has rapidly grown to over $676M TVL. Sonic’s impressive throughput (10,000 tps at sub-second finality) and innovative revenue-sharing model for application builders create a compelling new environment for Aave, bringing its robust DeFi capabilities to Sonic users. Sonic’s unique monetization model allows decentralized protocols like Aave to earn a share of the transaction fees generated by user activity. This creates a powerful alignment of incentives, directly rewarding Aave for driving usage on the Sonic platform and fostering a mutually beneficial partnership. In traditional blockchains, these fees go generally to validators.
“The successful deployment of Aave V3 on Sonic is a significant milestone for the Aave community,” said Stani Kulechov, founder of Aave Labs. “Sonic’s focus on its innovative revenue-sharing model and team expertise create a compelling opportunity for Aave to expand its reach and participate in a growing, community-oriented DeFi ecosystem.”
“Bringing Aave V3 to Sonic empowers our users with access to the leading DeFi platform, bringing deep liquidity and a proven track record to our ecosystem,” said Michael Kong, CEO of Sonic Labs. “This partnership significantly enhances Sonic’s DeFi offering, attracting new users and developers, and solidifying our position as a leading hub of decentralized applications.”
The deployment follows a successful governance proposal introduced by ACI, which sought community input and ultimately received approval from the Aave DAO. Aave and the Sonic Foundation have committed significant resources to support the V3 deployment, including:
- $15 million USD in funding from Sonic
- $800,000 USD in stablecoins from Aave
- Up to 50 million $S tokens (Sonic’s native token)
- $20 million in USDC
- Aave will onboard $USDC, $WETH, and $S at launch and service providers have provided the following risk parameters: WETH has a 3,000 supply cap and a 2,750 borrow cap
- USDC has a 20M supply cap and 19M borrow cap
- wS has a 20M supply cap and 10M borrow cap
About Aave Protocol
Aave is the leading decentralized non-custodial liquidity protocol that allows users to act as depositors and earn passive income, as well as borrow a wide range of digital assets without the need for third-party intermediaries. Core capabilities include risk mitigation features such as supply and borrow caps, and flash loans which allow users to borrow and repay assets within the same blockchain transaction block. GHO is a decentralized, overcollateralized stablecoin native to the Aave Protocol. The Aave Protocol is fully governed by the Aave Decentralized Autonomous Organization (DAO). Visit https://governance.aave.com/ to learn more and take part in Aave Governance.
About Sonic
Launched in December 2024, Sonic is the highest-performing EVM L1 blockchain, combining speed, incentives, and world-class infrastructure. For more information, please visit: https://www.soniclabs.com/