Aave Plans V4 Launch on Avalanche, Eyes $100B RWAs by 2026

Stani Kulechov, founder of Aave, told a podcast that Aave V4 will deploy its first non-Ethereum instance on Avalanche and list tokenized real-world assets on the Horizon securities market. He predicted real-world assets in decentralized finance would reach $100 billion by the end of 2026.

Kulechov cited transaction throughput, lower fees and faster finality on Avalanche as reasons for the choice. He said a close working relationship with the blockchain's developer team can accelerate product launches and integrations needed for on-chain custody and settlement.

He described components of Aave's roadmap, including the native protocol-backed stablecoin GHO and a so-called GHO engine that will integrate the stablecoin into lending markets and consumer products. He also previewed an Aave consumer app designed to simplify borrowing, saving and interaction with tokenized assets.

Kulechov argued that V4's architecture moves custody, credit and market access tools on-chain, which he expects will reduce reliance on traditional prime brokers. He said tokenized debt and securities combined with programmable lending markets can enable institutional counterparties to access liquidity and settlement on-chain.

On interoperability, he cautioned against closed “walled gardens” and emphasized the need for open protocols that allow capital and data to flow across platforms. He said institutions seek composability, auditability and predictable settlement finality.

Kulechov forecast the value of tokenized real-world assets in DeFi will roughly double to about $100 billion by the end of 2026. He attributed the projection to rising institutional interest in tokenization, clearer regulatory paths in some jurisdictions, emerging ledger-based custody and settlement tools, and new infrastructure such as Aave V4 and the Horizon market.

Kulechov noted Aave's historical scale, saying the protocol has routed more than $3 trillion in deposits through its markets. He described V4 as an effort to make those markets more modular and to support asset types beyond on-chain crypto collateral.