Aave Cuts Low-Usage Assets To Reduce Risk And Focus On High-Impact Priorities

Aave founder clarifies that offboarding low-usage assets aims to cut operational risk, not target specific chains, while highlighting L2 settlement and Avalanche's RWA role.

Woofun AI reports that Aave founder Stani Kulechov stated the protocol’s recent removal of low-usage assets and networks is not a stance against any Layer 1 or Layer 2. The initiative seeks to minimize operational, technical, and economic risks to prioritize high-impact areas, including expanding into existing high-value markets and entering security funding. Kulechov emphasized that Ethereum Layer 2 remains vital for user experience, noting the Aave App’s Safety Module uses L2 for settlement to onboard mainstream users.

Additionally, networks like Avalanche are highlighted for their role in bringing real-world assets on-chain via institutional expansion, addressing a historical weakness for Ethereum.