[AAVE] Add EURC to Aave V3 Core Instance
Simple Summary
The current AIP proposes to add EURC on Aave V3 Core Instance.
EURC is Circle’s EUR-backed stablecoin, enhancing liquidity and expanding the platform’s appeal to Euro denominated users.
Motivation
EURC is a fully backed stablecoin pegged to the Euro, issued by Circle, the same entity behind USDC. It is a reliable and transparent Euro-denominated asset gaining adoption across DeFi protocols.
- Utility and Role: EURC facilitates Euro-based transactions in DeFi, allowing for a stable store of value and an efficient medium of exchange within the ecosystem.
- Backers: Circle is a trusted issuer with a track record of regulatory compliance, providing confidence in EURC’s stability.
- Performance: EURC has demonstrated consistent performance and adoption within the broader DeFi space such as Morpho (3M), Alien(4M) and Aerodome (3M).
- Euro Liquidity: EURC will offer Aave users access to Euro-denominated liquidity, appealing to the European market.
- Broader User Base: Listing EURC could attract new users from Europe, diversifying Aave’s stablecoin offerings.
- Increased Liquidity: The addition of EURC can enhance liquidity across Aave’s markets, improving lending, borrowing, and trading experiences.
Specification
The table below illustrates the configured risk parameters for EURC
| Parameter | Value | |
- | --: | | Isolation Mode | false | | Borrowable | ENABLED | | Collateral Enabled | true | | Supply Cap (EURC) | 7,000,000 | | Borrow Cap (EURC) | 6,500,000 | | Debt Ceiling | USD 0 | | LTV | 75 % | | LT | 78 % | | Liquidation Bonus | 5 % | | Liquidation Protocol Fee | 10 % | | Reserve Factor | 10 % | | Base Variable Borrow Rate | 0 % | | Variable Slope 1 | 6 % | | Variable Slope 2 | 50 % | | Uoptimal | 90 % | | Flashloanable | ENABLED | | Siloed Borrowing | DISABLED | | Borrowable in Isolation | DISABLED |
Pricefeed details
| Parameter | Value | |
| -- |
|---|
| Oracle |
| Asset to USD Oracle |
| Base to USD Oracle |
| Price Cap Ratio |
| Oracle Latest Answer |
Additionally lm.aci.eth has been set as the emission admin for EURC and the corresponding aToken.
References
- Implementation: AaveV3Ethereum
- Tests: AaveV3Ethereum
- Snapshot: Direct-to-AIP
- Discussion
Copyright
Copyright and related rights waived via CC0.
Off-Chain Vote
Discussion
Timeline
Jun 26, 2025Proposal created
Jun 27, 2025Proposal vote started
Jun 29, 2025Proposal vote ended
Mar 17, 2026Proposal updated