Aave V4 Targets $4.6 Trillion Securities Lending Market With Tokenized Stocks
TLDR: Aave V4 will enable onchain securities lending for tokenized stocks, removing broker intermediaries entirely. The global securities lending market holds $4.6 trillion in loans and generates $35 billion annually. Brokers currently retain 50–85% of borrow fees, leaving asset ...
➤ Aave V4 aims to disrupt the $4.6 trillion global securities lending market by enabling on-chain lending of tokenized stocks, cutting out traditional broker intermediaries. ➤ The protocol will allow asset holders to earn the full borrowing fees, eliminating the current model where brokers retain 50-85% of these fees. ➤ Aave V4 will also eliminate rehypothecation, reducing risk and providing greater transparency and control for asset owners.