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TokenLogic has proposed migrating all Aave DAO funds from Aave v2 Avalanche to Aave v3 Avalanche for potentially higher deposit rates and better distribution of wAVAX incentives. The migration, facilitated by a tool from Bgdlabs, could transfer about 8.3% of the TVL from v2 to v3, but potential risks and challenges need to be considered.
The discussion primarily revolves around a proposal put forth by TokenLogic to migrate all Aave DAO funds from Aave v2 Avalanche to Aave v3 Avalanche. The primary motivation behind this proposal is the potential for higher deposit rates on v3 and the opportunity to distribute wAVAX incentives across v3. This migration, if implemented, would result in approximately 8.3% of the Total Value Locked (TVL) on v2 being transferred to v3.
The proposal also suggests that smaller holdings, such as wAVAX, could be deposited to earn yield. The migration process could be facilitated using a tool developed by Bgdlabs. It's important to note that TokenLogic has clarified that they are not receiving any payment from Aave DAO or any external source for the creation of this proposal1.
In conclusion, the discussion is centered around the potential benefits and implications of migrating Aave DAO funds from v2 to v3. The proposal, if accepted, could lead to higher deposit rates and a more efficient distribution of wAVAX incentives. However, it's crucial to consider the potential risks and challenges associated with such a migration.
Posted 4 months ago
Last reply 3 months ago
Summary updated 2 months ago
Last updated 04/12 00:18