Aave Deploys V3 Lending Protocol and GHO Stablecoin on Monad
Aave is a major decentralized finance lending protocol that allows users to deposit, pledge and borrow crypto assets, while GHO is its native US dollar stablecoin. Monad launched its mainnet on November 24, 2025, as a high-performance, Ethereum-compatible Layer 1 network. The integration brings an established lending market to the new chain while expanding the cross-chain reach of Aave and GHO.
On July 2, 2026, Aave formally activated V3.7 on Monad, initially supporting 12 assets including USDC, USDT0, GHO, WETH and cbBTC. The Monad Foundation committed $15 million in incentives over the first 12 months and pledged to purchase and hold 10 million GHO for at least six months. The Aave DAO will provide another 500,000 GHO to jump-start liquidity and user adoption.
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The history behind this eventAave Deploys V4 on Avalanche, Laying Groundwork for Tokenized Credit
Leading decentralized lending protocol Aave has moved aggressively into lending against tokenized real-world assets (RWAs) since deploying V4 on Ethereum in March 2026. As financial institutions seek more onchain infrastructure, the tokenization of assets such as US Treasuries and private credit has become central to the convergence of decentralized finance (DeFi) and traditional finance. Blockchain technology can also improve the liquidity and capital efficiency of those assets.
Aave deployed V4 on Avalanche on July 15, 2026, marking its first expansion beyond Ethereum. The new version introduces a Hub & Spoke architecture designed to improve liquidity. The Avalanche ecosystem is also providing $15 million in performance incentives, to be distributed based on metrics including total value locked, to accelerate the development of lending markets for tokenized real-world assets.
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