Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
Aave's Horizon Bridges DeFi and Institutional Finance with Real-World Collateral

Aave's Horizon Bridges DeFi and Institutional Finance with Real-World Collateral

ainvest2025/08/29 12:33
By:Coin World

- Aave Labs launched Horizon, enabling institutions to borrow stablecoins using tokenized real-world assets (RWAs) as collateral, achieving $50M TVL in its first day. - The platform integrates U.S. Treasuries, CLOs, and AAA-rated assets from partners like Superstate and Circle, bridging traditional finance with DeFi liquidity. - Leveraging Chainlink SmartData for real-time valuation and compliance frameworks, Horizon aims to activate $26.6B tokenized RWA market growth while ensuring institutional-grade sec

Aave Labs, the team behind the largest lending protocol in decentralized finance (DeFi) with over $40 billion in total value locked (TVL), has launched a new platform called Horizon, enabling institutions to borrow stablecoins using tokenized real-world assets (RWAs) as collateral. The platform, built on Aave’s protocol, is designed to operate around the clock, combining compliance frameworks with on-chain liquidity. On its first day, Horizon reached nearly $50 million in TVL, with over $5 million borrowed via tokenized government bonds and collateralized loan obligations (CLOs), signaling strong initial adoption of the platform.

Horizon allows institutions to access stablecoins such as Circle’s USDC , Ripple’s RLUSD, and Aave’s GHO, backed by tokenized assets from partners like Superstate, Circle , VanEck, and WisdomTree . These assets include U.S. Treasuries, institutional funds, and AAA-rated CLOs—traditional financial instruments that are now being integrated into the DeFi ecosystem. The platform aims to put idle institutional liquidity to work, which is typically locked in slower, legacy systems. Aave Labs founder Stani Kulechov emphasized that Horizon is designed to support the “growth of tokenized real-world collateral”.

Under the hood, Horizon uses Chainlink SmartData, including Onchain NAV, to automatically track the value of tokenized assets, enabling institutions to borrow stablecoins in real-time. Aave Labs also plans to integrate tools like Proof of Reserve and SmartAUM to facilitate easier risk management. The launch of Horizon includes a network of partners spanning asset managers, tokenization providers, and stablecoin issuers, further cementing Aave’s role in bridging traditional finance and DeFi.

The tokenized RWA market has grown significantly, reaching $26.6 billion, with Ethereum accounting for more than 51% of the sector. The largest vehicle in this space is BlackRock’s BUIDL fund, focused on U.S. Treasuries, with nearly $2.4 billion in assets, followed by Tether’s tokenized gold at $1.26 billion and Paxos’ tokenized gold at over $945 million. Kevin Rusher, founder of RWA lending platform RAAC, noted that the sector surpassing $20 billion earlier this year was a “strong signal,” as it was the only segment in crypto still reaching new all-time highs while most others faced heavy losses.

The launch of Horizon positions Aave, already the largest protocol with $39 billion in TVL, as a key player in institutional DeFi. By enabling institutional borrowers to leverage RWAs, Aave is expanding the scope of DeFi beyond purely crypto-native assets. The platform operates on a permissioned instance of Aave V3, integrating Chainlink’s oracle services for real-time asset valuation to ensure loans are sufficiently collateralized.

Analysts view Horizon as a significant step in the maturation of DeFi, as it introduces institutional-grade infrastructure and compliance to a previously unregulated space. With the tokenized RWA market showing strong growth, Aave’s new platform is poised to capture a substantial portion of this expanding sector. The rapid adoption of Horizon on its first day—nearly $50 million in TVL and over $5 million borrowed—demonstrates the growing demand for stablecoin liquidity backed by real-world assets.

Aave's Horizon Bridges DeFi and Institutional Finance with Real-World Collateral image 0
0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

Americans Still Optimistic, But Fears of Affordability and Inflation Weigh Heavy

- U.S. consumer sentiment fell to 58.2 in August, below expectations, reflecting economic uncertainty amid inflation concerns. - Persistent inflation and stagnant wage growth have kept confidence below pre-pandemic levels despite core inflation easing. - The index remains above 50, indicating cautious optimism, but declining trends signal potential slowdowns in consumer-driven growth. - Income disparities highlight fragmented outlooks, with lower-income households expressing stronger affordability and job

ainvest2025/08/29 14:18
Americans Still Optimistic, But Fears of Affordability and Inflation Weigh Heavy

Reliance and Tech Giants Forge AI Backbone to Power India’s Digital Future

- Reliance Industries, led by Mukesh Ambani, partners with Google and Meta to build India’s AI infrastructure via Reliance Intelligence, targeting energy, retail, telecom, and finance sectors. - Google collaboration includes a Jamnagar data center leveraging Jio’s network and clean energy, while Meta’s $100M joint venture deploys Llama-based AI for enterprise solutions. - Strategic alliances deepen U.S. tech firms’ India presence, following prior Jio investments, as Reliance aims to lead digital transforma

ainvest2025/08/29 14:18
Reliance and Tech Giants Forge AI Backbone to Power India’s Digital Future

Inflation Stalls Fed's Rate Cut Hopes Amid Tariff-Driven Price Surge

- US core PCE inflation held at 2.9% YoY in July, exceeding Fed's 2% target for five months amid persistent price pressures. - Trump-era tariffs and rising goods prices (0.35-0.40% MoM) fuel inflation, with services inflation showing stubborn upward momentum in shelter, healthcare, and travel costs. - Markets price 88% chance of 0.25-point Fed rate cut in September after weak jobs data, but Bank of America/Morgan Stanley warn of overestimating easing likelihood. - Gold dips pre-PCE release as dollar streng

ainvest2025/08/29 14:18
Inflation Stalls Fed's Rate Cut Hopes Amid Tariff-Driven Price Surge

Bitcoin's 2026 Price Outlook: Macroeconomic Tailwinds and Whale Activity as Catalysts for a $120K Target

- Bitcoin's 2026 price trajectory is driven by macroeconomic tailwinds, institutional adoption, and whale activity, with a $120K target projected. - Inflationary pressures and Fed policies bolster Bitcoin's appeal as a hedge, while ETF inflows ($70B AUM) and corporate holdings (e.g., MicroStrategy's 630K BTC) normalize institutional adoption. - Whale transactions ($4.35B transfers) and UTXO consolidation signal strategic accumulation, though volatility risks persist amid macroeconomic uncertainty and regul

ainvest2025/08/29 14:15
Bitcoin's 2026 Price Outlook: Macroeconomic Tailwinds and Whale Activity as Catalysts for a $120K Target