Aave V4 proposes Round 10 cap increases on Ethereum as deposits climb to $262M

Deposit growth after Round 9

According to the proposal, Round 9 cap changes are already live and total deposits increased by roughly 9% over the following week, rising from $239,914,421 to $262,215,897 between July 2 and July 8, 2026. The growth was led mainly by BTC and ETH collateral on the Core hub, alongside continued stablecoin supply on the Plus hub and the Global Dollar hub.

At the time of the review, the Core hub held $206,602,582, equal to 51% of its Add Cap. The Prime hub stood at $28,225,273, or 32% of Add Cap, while the Plus hub held $10,181,638, or 27%. The Global Dollar hub was at $17,206,404, corresponding to 31% of Add Cap.

Which markets are most constrained

LlamaRisk said this round is narrower than the previous one because fewer reserves crossed the utilization threshold. Two reserves were above 80% Add Cap utilization: USDG on the Core hub at 89%, with 44,749,383 out of 50,000,000 filled, and cbBTC on the Core hub at 87%, with 191.45 out of 220 filled, valued at $11,877,338.

Another seven reserves were in the 50% to 80% range. These were WETH on the Prime hub at 65%, frxUSD on the Core hub at 62%, PT-USDG-24SEP2026 on the Global Dollar hub at 58%, sUSDe on the Plus hub at 57%, WETH on the Core hub at 52%, USDC on the Core hub at 51%, and WBTC on the Core hub at 50%.

On the borrowing side, the proposal said the USDG credit line in the USDG Pendle market had reached 100% utilization, while the frxUSD credit line in the Bluechip market was at 81%.

Round 10 recommendations

The proposed Round 10 package would add about $29 million of extra Add Cap capacity in total. That would raise the overall Add Cap ceiling from roughly $588 million to about $618 million. The increase would be distributed as approximately $24 million for Core, $3 million for Prime, and $2 million for Plus. Draw Caps for affected assets would be scaled proportionally to maintain existing Add-to-Draw ratios.

For the Core hub, LlamaRisk recommended increasing the USDC cap from 12,500,000 to 15,000,000, WETH from 2,050 to 2,600, and cbBTC from 14 to 26. For the Prime hub, it proposed raising WETH from 3,200 to 5,000. On the Plus hub, sUSDe would move from 0 to 8,000,000.

The proposal also recommends draw-side relief for the USDG credit line in the USDG Pendle market, increasing it from 15,000,000 to 20,000,000.

Security Council to handle implementation

Under the process described in the proposal, the changes would be applied through the Aave Security Council after review. LlamaRisk said hub utilization will be reassessed as deposits continue to grow.

The recommendation comes from LlamaRisk in its role as a community risk service provider to the Aave DAO. The document frames the latest round as a focused adjustment to the most capacity-constrained markets rather than a broad expansion across the protocol.