That differs from the risk-provider-led parameter process outlined in V4’s Ethereum activation plan. V4, which launched on Ethereum in March, pools liquidity in Hubs while Spokes define separate borrowing environments. Sentora’s proposed Ethereum Hub would serve its own Spokes, with no credit lines to or from other Aave Hubs authorized by this proposal.
Sentora, formed through the merger of IntoTheBlock and Trident Digital, says the arrangement would consolidate lending strategies it currently operates across separate venues.
Risk Changes on a 48-Hour Clock
Sentora could immediately pause or freeze markets and make risk-reducing changes, such as lowering caps or collateral factors. Risk-increasing changes, including cap increases, would require a 48-hour onchain delay. Interest-rate models and liquidation configurations would also follow the delayed path because their risk direction can be ambiguous.
The delay would not limit the size of an increase or impose a cooldown between updates. The DAO could not cancel an individual scheduled operation; its recourse would be an onchain governance proposal revoking Sentora’s operational roles.
New collateral listings and Hub deployments would face a two-week forum review. An objection from an appointed Aave service provider would halt the action and trigger a binding Snapshot vote. But providers would not be paid or required to review those submissions. As the proposal states, “the absence of an objection does not indicate that a review was performed.”
Three Ethereum Markets
$RLUSD, $PYUSD and OUSD would be the only borrowable assets, with USDC and USDT excluded. The plan starts with $RLUSD Yield, OUSD Yield and Bluechip Spokes, with a separate $PYUSD Yield Spoke planned later. It describes $USDe and Huma PST as initial $RLUSD Yield collateral, with PRIME and mWIN planned additions.
The specification sets per-asset supply and borrowing limits. Its largest stablecoin allocation is the $RLUSD Yield Spoke, with an add cap of 100 million $RLUSD and a draw cap of 90 million $RLUSD. Collateral-only assets have zero draw caps. In V4, the collateral factor governs both borrowing capacity and the liquidation threshold.
The borrowable stablecoins would start with a 20% liquidity fee on interest. The framework lets Sentora raise the reserve factor, but not lower it below 20%. Protocol revenue, including reserve-factor earnings and protocol liquidation fees, would be split equally between Sentora and the DAO, with no operating costs borne by the DAO. The proposed payment is to the DAO, not a direct distribution to AAVE holders or stakers.
OUSD’s price oracle still needs to be confirmed before launch.
The bigger picture
Sentora Would Put V4’s Collateral Pricing Lever to Work
Sentora’s proposal would use a V4 pricing mechanism that LlamaRisk’s Ethereum activation analysis initially set to zero: collateral-specific risk premiums. That changes more than borrowing limits. A borrower’s collateral can change the cost of borrowing the same asset from the same Hub.
Aave Labs’ risk-premium explainer describes V3 rates as a function of supply and demand for each borrowed asset within a market, without differentiating borrowers by collateral. V4 adds that differentiation, but LlamaRisk’s activation analysis specified zero collateral-risk scores for the initial Spokes, while leaving most available for later tuning.
The Sentora ARFC proposes nonzero scores for $USDe, PRIME and PST, alongside zero scores for mWIN and kBTC.
These percentages are collateral-risk scores used to set premiums on base interest—not annual borrowing rates. Aave Labs describes the premium as additional debt accumulation proportional to base debt accumulation. A zero score switches off that charge; it does not establish that the collateral is risk-free.
The pricing score is distinct from V4’s collateral factor, which governs borrowing capacity and the liquidation threshold. With Sentora selecting the instance’s risk parameters and interest-rate curves, delegated curation would give it a lever over the cost of leverage, not just the amount a user can borrow.
