Marc Zeller, the founder of the Aave-Chan Initiative, made a proposal to integrate the new version (V3) of the Aave protocol into ZkEVM, a new Layer 2 platform developed by Polygon teams.
ZkEVM, a new innovation compatible with Ethereum
ZkEVM is a new platform based on “zk-rollups”. It works as a layer 2 (L2) compatible with Ethereum Virtual Machine (EVM). Indeed, allows to have the same functionalities on Ethereum with faster and cheaper transactions. ZkEVM is developed by the Polygon project.
As for Aave, it is a DeFi (decentralized finance) protocol. It allows users to benefit from financial services such as loans and borrowings without a trusted third party. Aave recently launched a new version (V3). However, the latter would require “minimal development work” to be deployed on ZkEVM.
Aave reportedly tested its new V3 version on the ZkEVM testnet for more than 6 months. As a result, everything is ready for integration on the mainnet on March 27th.
As of 2021, Aave had already deployed its platform on other networks such as Polygon and Avalanche. This new deployment would allow users to have a wider choice in terms of fees and speed of transactions. He is considered as “strategic positioning”
A very conservative launch
Aave does not want to take too many risks when it comes to this new integration. Everything is planned so that they are reduced to a minimum. As you can read on Marc Zeller’s proposalthe assets supported by the protocol will be “very limited”.
At first, only Wrapped Ethereum (WETH), Wrapped MATIC (WMATIC) and USDC stablecoin will be supported as collateral assets on the platform. It is possible to see other cryptocurrencies complete this list as the project evolves.
For Mark Zeller, “this proposal is important because it would allow Aave to expand its reach in decentralized finance (DeFi)”. If the ZkEVM protocol manages to find a solid user base, it is possible that Aave will grow even faster than its competitors.
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