A new proposal on Aave’s governance forum argues that the lending protocol should tighten how quickly very large collateral deposits can be turned into borrowing power. The suggested changes are framed as a risk-control measure for deposits above $10 million made within a rolling seven-day window.

The draft also says wallet-based thresholds on their own would be too easy to evade. To address that, it calls for protocol-wide and asset-level controls designed to stop users from splitting a large position across many addresses to avoid the restrictions.

How the deposit threshold would work

Under the proposal, any address that deposits more than $10 million in collateral on a cumulative basis over seven days would face enhanced borrowing restrictions. The idea is to create a clear definition of what counts as a large deposit and apply tighter controls once that threshold is crossed.

The proposal does not limit itself to a single transaction. Instead, it uses a rolling seven-day window, meaning multiple deposits by the same address would be counted together when determining whether the restrictions should apply.

Borrowing power would unlock over four days

For deposits that fall under the large-deposit category, newly created borrowing capacity would not be available immediately. The proposal sets out a phased release schedule intended to slow how fast fresh collateral can be used to take on debt.

The schedule would keep 0% of that new borrowing power available during the first 24 hours, then raise access to 25% after 24 hours, 50% after 48 hours, 75% after 72 hours, and 100% after 96 hours. The post adds that each deposit should follow its own unlocking timeline rather than being merged into a single release schedule.

Proposal argues wallet-level checks are not enough

A central part of the argument is that per-wallet limits alone would leave an obvious loophole. The forum post says an attacker could split a much larger sum into many smaller deposits across different wallets, allowing the activity to stay below a simple per-address threshold while still building a sizable borrowing position.

As an example, the proposal says a $100 million deposit could be divided among 20 wallets depositing $5 million each, bypassing a rule that only targeted single-wallet deposits above $10 million. On that basis, it recommends controls that work beyond the individual address level.

Protocol-wide and asset-level controls are proposed

To make the restrictions harder to evade, the proposal calls for protocol-level rate limits that would cap aggregate new borrowing volume across all addresses over rolling time windows. In addition, it recommends asset-level monitoring so cumulative deposits and borrowing activity can be tracked across the broader market, not only wallet by wallet.

The post also suggests baseline restrictions on newly deposited collateral regardless of deposit size, with stricter treatment once the $10 million level is exceeded. Another recommendation is for dynamic risk controls that would automatically tighten borrowing limits when large inflows, unusual borrowing activity, or liquidity stress are detected.

Next step remains governance discussion

The forum post presents these measures as proactive risk management for Aave and emphasizes the principle that splitting one large deposit across many wallets should not bypass borrowing restrictions. It does not present the changes as adopted policy, but as a governance proposal for consideration.

For now, the confirmed next step is discussion within Aave governance. Any move from forum proposal to implementation would depend on the protocol’s governance process and whether the community decides to advance the recommendations.

Source: governance.aave.com