Aave DAO votes to add Pendle PT tokens to Aave V3 Core Market

Aave Dao members vote on a proposal aimed at adding the main pendle tokens to its basic V3 market.

The proposal, poster On the snapshot of the web 3 voting platform on April 7, suggests listing an initial PT test active. Pendle (Pendl) is a decentralized financing protocol which allows users to divide the yield tokens into two parts; The main tokens and yield tokens.

PTs represent the original value of the token and can be exchanged at full value once they have matured, which makes them similar to fixed income instruments. The YT, on the other hand, give holders access to the future yield generated by the underlying assets.

The proposal recommends starting with a list of a PT test token. Although it does not suggest immediate integration, the objective is to assess user demand and technical integration. To reduce additional risks, the idea is to start with PT tokens linked to the assets already supported on Aave (GHOST), like Susde.

Over the years, the total value of locked pendle has reached more than $ 3 billion as the interest in token -to -yield exchanges increases. The request for use of PTs as a guarantee increased with the Penndles growth. By allowing users to borrow against PTS, Aave could capitalize On this momentum, offering the yield traders new strategies and possibly unlock billions of new loans.

Aave intends to use a owner pricing technique known as the model “linearly increasing the lower limit” to take into account the distinct structure of the PTS. After having evaluated the integration, the Aave risk service providers will define the risk parameters. The proposal sets the basics of future and wider support from PT tokens, even if the test PT token will not be integrated immediately due to current discussions on related assets.

The instant vote of the proposal opened its doors on April 7 and will end on April 11. Until now, 100% of the 6,500 DAO members who voted have given the proposal a boost.

According to data From Defillama, the Aave V3 platform is still among the largest of DEFI, with more than $ 16.2 billion of total locked value and $ 9.9 billion in current loans. Entrances for April have already reached $ 1.3 billion, exceeding $ 984 million recorded in March.