# Aave activates automated supply and borrow cap updates on Arbitrum

> Chaos Labs Edge recommendations can flow through a RiskOracle and AaveStewardCapsInjector to an AGRS contract with RiskAdmin authority. Permissionless propagation is limited to a whitelist, with maximum 30% relative cap changes and a three-day minimum delay.

- URL: https://riadefi.com/on-chain/2025-02-25-aave-v3-arbitrum-agrs-caps-oracle-activation/
- Type: Control change
- Stage: Executed
- Evidence: confirmed
- Materiality: material
- Event date: 2025-02-25
- Version: 1, published 2026-08-22 (first published 2026-08-22)
- Advisor-relevant: yes
- Affects: Aave v3 (protocol)

## What happened

Aave governance executed proposal 253, activating the automated Aave Generalized Risk Stewards system for supply and borrow caps on the Arbitrum instance.

## What changed

Chaos Labs Edge recommendations can flow through a RiskOracle and AaveStewardCapsInjector to an AGRS contract with RiskAdmin authority. Permissionless propagation is limited to a whitelist, with maximum 30% relative cap changes and a three-day minimum delay.

## What did not change

The automation is limited to supplyCap and borrowCap for the listed Arbitrum assets; it did not authorize automated LTV, liquidation-threshold, oracle-price, reserve-factor, or collateral-listing changes.

## Confirmed

- Proposal 253 executed on February 25, 2025.
- The new steward received RiskAdmin authority for the Arbitrum instance.
- The record lists 15 whitelisted assets and constrains both cap types to 30% relative changes with a three-day minimum delay.
- The injector runs through Chainlink Automation and was funded with 50 LINK from the Arbitrum Collector.

## Still open

- The proposal record does not by itself establish the operational reliability or governance accountability of the off-chain Edge recommendation process.
- Future cap recommendations and whether they remain aligned with Ketju risk limits require ongoing monitoring.

## What it means for an advisor

- Add the Edge RiskOracle, injector, Chainlink Automation, and automated AGRS path to the Aave control map.
- Review whether three-day, 30% cap changes alter approved exposure or liquidity assumptions, and monitor actual automated updates.

## Sources

1. [Caps Risk Oracle Activation on Arbitrum](https://vote.onaave.com/proposal/?proposalId=253) · Aave DAO · 2025-02-20


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Published by Ketju Research on RIADeFi (https://riadefi.com). Educational research for financial professionals; not investment, legal, tax, or compliance advice.