Sentora, an institutional DeFi platform, has submitted a governance proposal to manage independent lending markets on Aave V4. The plan involves a 50/50 revenue split with the Aave DAO, covering all protocol income including liquidation fees and reserve factors.
The proposal utilizes the Hub & Spoke architecture of Aave V4 on Ethereum. Under the agreement, Sentora would oversee collateral selection, risk parameters, and interest rates, while the DAO maintains ownership of the smart contracts.
The lending instance will support specific stablecoins, including RLUSD, PYUSD, and OUSD. The Aave DAO will incur no operational costs, such as infrastructure or personnel expenses, under this model.
The framework includes safety measures, such as a 48-hour timelock for risk-related changes and a two-week review period for new assets. The DAO retains the right to revoke Sentora's authority through a governance vote.
Aave V4 saw its total value locked grow from $402 million on September 15 to $660 million by September 29. Sentora previously managed a $100 million ETH loan for Aave V3.
