[TEMP CHECK] Deploy Aave v3 on Mantle

Author: ACI

Date: 2024-12-20

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Simple summary

The current [TEMP CHECK] proposes deploying Aave V3 on Mantle Network.

Motivation

Mantle Network is an EVM-compatible Layer 2 scaling solution for Ethereum (rollup), enabling existing Ethereum contracts and tools to operate with minimal modifications. By leveraging a modular architecture, Mantle combines an optimistic rollup design with innovative data availability solutions to reduce costs while maintaining Ethereum’s security. Data availability is managed by an external DA layer, currently powered by EigenDA technology through Mantle DA, with plans to fully adopt EigenDA upon its mainnet stable launch.

By deploying on Mantle, Aave can take advantage of Mantle’s integration with Bybit products, enabling seamless access to Bybit’s 30 million active users. This creates a significant opportunity to broaden Aave’s user base and make DeFi more accessible to a wider audience.

Mantle currently boasts a TVL of approximately $570 million, while its flagship LST (mETH) holds a TVL of $1.85 billion. More details here.

Benefits of deploying on Mantle

• Accessibility and Distribution

  As Mantle is closely integrated with Bybit, Aave’s deployment on Mantle positions the protocol in front of an expanding audience.

  • This integration creates a gateway for tens of millions of potential new users to access Aave’s lending and borrowing products, making DeFi simpler and more accessible than ever before.

• Incentive campaigns

  Mantle’s ongoing incentive program, Metamorphosis Season 2 offers a powerful catalyst for user engagement and liquidity growth within the ecosystem.

  • Restaking mETH into cmETH, participants earn Powder—soon to be convertible into COOK, the governance token of the mETH Protocol—and gain exposure to multiple streams of yield from staking, restaking, and additional protocol rewards. cmETH also accruing value through EigenLayer, Karak, Symbiotic and Veda points.

Proof of Liquidity (POL) and Deposit Commitments

The Mantle team will provide the following, upon its deployment is confirmed:

• 16M units of MNT value at around 19.2M USD valuing MNT at $1.20 ea
• COOK points and Ethena Sats
• $20M in USDC/USDT Supply
• $20M in ETH Supply
• $50M in other asset supply

More details will be shared on ARFC stage.

Specification

Risk Parameters will be provided by Service Providers and this section will be updated at ARFC stage if proposal moves forward, after successful TEMP CHECK Snapshot.

Disclaimer

This proposal is powered by Skywards. The ACI is not directly affiliated with Mantle and did not receive any compensation for creating this proposal.

Next Steps

1. If consensus is reached on this [TEMP CHECK], escalate this proposal to the Snapshot stage.
2. If the Snapshot outcome is YAE, this proposal will be escalated to ARFC stage.
3. Publication of a standard ARFC, collect community & service providers feedback before escalating proposal to ARFC snapshot stage.
4. If the ARFC snapshot outcome is YAE, publish an AIP vote for final confirmation and enforcement of the proposal.

Copyright

Copyright and related rights waived via CC0.