RIADeFi

LlamaRisk proposes lower Aave borrowing limits.

On-chain events · · Ketju Research

ProposedConfirmed evidence

Affects: Aave v3 (protocol)

What happened

LlamaRisk proposed lower Aave borrowing limits on October 30, 2026, following the Binance incident.

What changed

LlamaRisk proposes cutting Ethereum Core’s WETH borrow cap from 2,400,000 WETH to 1,790,000 WETH before staged reopening.

What did not change

LlamaRisk’s recommendation establishes no completed execution or reopening.

Confirmed

  • LlamaRisk proposes reducing Ethereum Core’s USDC borrow cap from 2,700,000,000 USDC to 2,270,000,000 USDC.
  • LlamaRisk also proposes reductions across other Aave deployments.

Still open

  • The timing and final scope of execution remain unconfirmed.

What it means for an advisor

  • Ketju should review borrowing availability in the Aave memo and confirm operative caps before describing available credit.

Sources

  1. Risk Stewards: Borrow and Draw Cap Reductions on Aave V3 and Aave V4 / 2026.10.30 · LlamaRisk ·

Version 1, published . We check this event again on . Educational research. Not investment advice.