Babylon Labs proposes Bitcoin collateral lending on Aave V4
Native BTC locked in trustless vaults secures stablecoin borrows. No bridging, no wrapping. An Ethereum token represents the collateral position.
Aave DAO receives the first $500,000 in qualifying annual revenue from the integration, pending governance vote.
The proposal is under community review with further approval needed from Aave's DAO.
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