[Temp Check] Deploy Aave on Metis

Summary Proposal for the deployment of Aave V3 on Metis Andromeda Mainnet.

Proposal Born out of the need for permissionless and open collaboration, Metis Andromeda is an EVM Equivalent Ethereum Layer 2. MetisDAO Foundation is building a hub for the entire Web3 economy in 3 stages: an Ethereum Layer 2 providing top notch scalability; built-in on-chain reputation through the Matrix Reputation Power System, providing countless capabilities previously just available for Web2 and traditional finance; and a Decentralized Autonomous Company (DAC) framework facilitating the transition of Web2 onto Web3, and enabling both blockchain and Web2 companies to build decentralized businesses on-chain. All the functionalities of real-world enterprises and all the security and decentralization of Ethereum.

The Metis Layer 2 utilizes an upgraded Optimistic Rollup architecture, allowing for high throughput while maintaining Ethereum’s underlying security. As of right now, Metis is a Stage 0 Rollup, according to Vitalik’s proposed categorization framework. Metis Andromeda is a, first of its kind, Smart L2. The concept of the Smart L2 explores the design space in between Rollups and Plasma architectures, combining rollup’s security with plasma’s scalability. Learn more about the Metis Smart L2. Our L2 is not where our vision ends, per se; our L2 is a means to the end of building an open collaboration framework to host the Web3 economy. This is the foundational base layer that will allow further developments and rollout of the next 2 verticals.

Our second vertical is the Matrix Reputation Power System, a web3 identity system providing a framework to mint and use non-transferable NFTs and toolkits for on-chain reputation: portable and composable reputation earned through on-chain achievements and history. As we all know, in traditional settings and Web2, our data is not ours; Matrix changes this. Soulbound tokens will also allow and enable no-coin governance, establishing provenance, decentralized key management, souldrops, and countless Web2 functionalities that weren’t previously available for Web3. These features will help the ecosystem realize and embody its goals of decentralization, secure its long term health, and make it the perfect setting for Web2 companies looking to transition to Web3 without facing a huge UI change.

Third, our Decentralized Autonomous Company (DAC) framework, for seamless onboarding of Web2 onto Web3. DAOs have been crucial for our space, but they lack a clear structure and the right tools to make them suitable for Web2 organizations. DACs, on the other hand, will allow Web2 organizations to tailor these to their preference. By combining DACs and our Polis Middleware, Web2 organizations will have access to a repertoire of smart contract templates, allowing them to deploy without the need of code: seamless, tailored Web2 experiences.

When combining all these components, we will allow dApps, Web2 apps and organizations, and/or TradFi to enjoy a seamless onboarding experience and manage their day to day operations in a decentralized and immutable way, while taking advantage of the functionalities provided by on-chain reputation, and the scalability provided by the base Layer 2. The perfect suite for dApps, web2 platforms, or any builder.

Committed to support our ecosystem builders and see them succeed, MetisDAO Foundation can support projects in 3 main ways: -Builder Mining Rewards (Secured) -Ecosystem Grants (Application/Approval based) -Genesi DAC Investments (Application/Approval based)

*The Builder Mining Reward (BMR) program distributes 4000 METIS tokens each month based on how many txs out of the monthly total each protocol is responsible for (eg. if a protocol is responsible for 10% of the network txs, the protocol would receive 400 METIS that month as part of our sustainability grants / retroactive funding practices).

As we build the path towards a Web3 economy, it is crucial to establish strong and long-lasting Decentralized Finance foundations. A trusted and established money market such as Aave is a key foundational piece to building up strong capital markets to support the Web3 economy we are building towards. We believe that with Metis-Aave integration, these foundations can be built in a decentralized and scalable way, secured by Ethereum, and welcoming for Web2. Through this integration, AAVE can also generate an extra revenue stream while ramping up its expansion to up and coming Ethereum Layer 2s.

Metis envisions and builds towards a rollup-centric future in Ethereum, and seeks to invite Aave to be part of this mission and enable the Aave V3 front-end for Metis markets. Our robust and enterprise-grade network has a surging DeFi ecosystem, and while there are borrowing/lending capabilities currently available, having a Flagship protocol like Aave would be incredibly valuable to our ecosystem, while fulfilling Aave’s multichain expansion. There are many benefits Aave users and the DAO at large would benefit from, including Builder Mining Rewards, EVM Equivalence, our Smart L2 architecture, and a healthy mix of native and multichain protocols like LayerZero, Hummus, MaiFinance, Hermes, and much more.

Metis is open and willing to work with Aave to determine the optimal strategy for liquidity incentivization, marketing and awareness campaigns, and additional benefits to bring to its users. We will also offer Aave the opportunity to set up a Verifier node for the Metis Layer 2 network, providing a steady stream of income to the Aave DAO in perpetuity, while securing the Andromeda and aligning incentives for the future decentralization and wellbeing of the Metis network.

Metis is ready to onboard Aave to its ecosystem and looks forward to the opportunity to build a long-term, sustainable, and mutually-beneficial relationship.