Aave V4 Launches Stock Asset Market on Base, Enabling Coinbase-Tokenized US Stocks as Collateral to Borrow USDC

TechFlow reported on September 25 that, according to The Block, Aave V4 has launched the Equities Hub on Base, allowing eligible non-US users to borrow USDC using tokenized US stocks issued by Coinbase as collateral. The initial batch supports seven US stocks including Apple, Amazon, Alphabet, Meta, Microsoft, Nvidia, and Tesla, with Chainlink providing on-chain price data for the related assets.

The market's initial aggregate stock collateral cap is approximately $29 million, the USDC supply cap is $32 million, and the borrowing cap is $21 million, with collateral rates for different stocks ranging from 65% to 79%. Currently, these tokenized stocks can only be used as collateral.

Aave noted that the Equities Hub pools different stock collateral into a shared USDC market while implementing separate risk parameters to isolate potential risks from individual stocks. The market operates 24/7 and, subject to future governance and risk reviews, may add more Coinbase tokenized stocks and include GHO as a borrowable asset.