Sentora proposes running isolated Aave V4 Hub for 50/50 revenue split
In brief
- Sentora's Sept. 28 ARFC asks to run an isolated Aave V4 Hub through revocable roles.
- RLUSD, PYUSD and OUSD are the only assets that could be borrowed; USDC and USDT are excluded.
- Sentora and the Aave DAO would split the instance's protocol revenue 50/50.
- Hub suppliers would bear bad-debt losses, CryptoSlate says, citing TokenLogic's V4 Umbrella proposal.
- Snapshot vote and on-chain AIP are still required for the ARFC.
What Sentora would control
Aave V4 separates the Hub (which holds liquidity) from the Spokes, where loans originate against collateral. Sentora's ARFC calls for one Ethereum Hub with no credit lines to or from other Aave DAO Hubs, and Sentora would choose that market's collateral, interest-rate curves, liquidation settings and oracles.
Borrowing would be narrow. The proposal limits borrowable assets to RLUSD, PYUSD and OUSD, so USDC and USDT are out.
On paper, the DAO keeps the keys. Its Governance Short Executor would keep admin roles over the Hub, Spokes and AccessManager, and Sentora wouldn't own any of the contracts. Aave's existing risk service providers, though, wouldn't be assigned to monitor the instance, recommend changes or respond to incidents.
The governance gaps
A 48-hour delay would apply to risk increases and to functions whose direction is ambiguous (rate models and liquidation configurations included). CryptoSlate's reading of the proposal found no limit on the size of an increase and no cooldown between updates. The DAO also couldn't cancel a single scheduled action inside that window. To revoke Sentora's roles, it would need a separate on-chain proposal, and that would only remove Sentora's authority going forward.
New Hubs or collateral assets go through a different process. Sentora would post an analysis and wait two weeks, and an objection from any appointed Aave DAO service provider would trigger a binding Snapshot vote. According to CryptoSlate, the proposal says no service provider is scoped or compensated to review those submissions.
Who carries the loss?
This is where the deal gets uncomfortable.
If a liquidation leaves bad debt, the Hub records the deficit against that asset. TokenLogic's V4 Umbrella proposal says suppliers of that Hub asset bear the loss. CryptoSlate's point is that cutting cross-Hub credit lines doesn't protect suppliers inside Sentora's Hub from losses on its own Spokes. The Umbrella ARFC proposes deficit offsets and staked coverage for Core WETH, Core USDC and Core USDT, but it doesn't name Sentora's Hub, and Sentora's ARFC doesn't specify an Umbrella market.
The revenue side is clearer. Sentora and the DAO would each get 50%, including reserve-factor earnings and protocol liquidation fees.
Nothing is final yet. The ARFC still needs a Snapshot vote and an on-chain Aave Improvement Proposal.
Frequently asked questions
Who would bear losses if Sentora's Aave V4 Hub ends up with bad debt?
When a liquidation leaves bad debt, the Hub records the deficit against that asset. TokenLogic's V4 Umbrella proposal says suppliers of that Hub asset bear the loss. Aave's separate Umbrella ARFC covers Core WETH, Core USDC and Core USDT, but it doesn't name Sentora's proposed Hub.
Can the Aave DAO stop Sentora from changing risk settings?
Risk increases and changes with an ambiguous direction would face a 48-hour delay. CryptoSlate reports the DAO would have no way to cancel a single scheduled action inside that window. Revoking Sentora's roles would take a separate on-chain governance proposal and would only remove its authority going forward.
Has Aave approved Sentora's proposal?
No. The proposal is an ARFC for community discussion. It still needs a Snapshot vote and then an on-chain Aave Improvement Proposal before it could be approved.
