Aave borrow rates rise on Ethena USDe as loops face negative carry
Aave (AAVE)
Editor:
Eugene Serbin
bitcoinethereumnews.com reports that LlamaRisk has proposed raising borrowing costs for Ethena’s USDe across five Aave V3 markets. The Sept. 9 recommendation increases the base variable borrow rate from 5% to 6% on Core, Plasma, Monad, Mantle, and Avalanche. It also reduces Slope1 by one percentage point on every deployment to offset part of the move.
At the utilization levels captured, modeled borrower APRs would rise by 13 to 89 basis points. These changes affect about $323.8 million of USDe debt against $1.18 billion supplied. LlamaRisk framed the changes as recommendations to be implemented through the Risk Steward process.
Avalanche, the most heavily utilized market, sees the largest offset with a 13-basis-point increase. Mantle, with the lowest utilization, absorbs nearly the full base-rate rise. TokenLogic’s program argued that a higher borrowing floor should reduce leveraged sUSDe loops. By Sept. 10, Aavescan showed a 4.72% supply APY while borrow APRs exceeded that level in several markets.
How the market reacted
Whalio's own Binance spot order flow for AAVE, measured when this story was written up on 11 September 2026. Not the outlet's figures.
Whalio spot data for AAVE shows a price of $120.64 with a 1-hour buy ratio of 51.6% and a 4-hour ratio of 44.3%. The 24-hour buy ratio stands at 51.1%, indicating that buying pressure has faded slightly over the longer timeframe compared to the immediate short term. Volume Delta is positive at +$60,042 for the hour but negative at -$101,888 for the four-hour window, suggesting that recent buying has been outweighed by selling over a slightly longer period. The 24-hour Volume Delta is +$253,110, showing that net buying has dominated the day overall. CVD closed at +$122,838, confirming that buyers have been in control for the majority of the day. This flow indicates that while short-term momentum is mixed, the daily trend remains net positive.
The latest daily buy ratio of 49.8% sits at the 52nd percentile of the last 324 days, against a median of 49.8% - ordinary for this coin.
Was that an ordinary day?
The same Binance spot measurements for AAVE, averaged over the days leading up to the story.
Over the preceding week, the 7-day average buy ratio was 47.9%, making today’s 24-hour ratio of 51.1% an unusual day with +3.2 points above average. However, spot volume was only 0.78x the average, indicating that this increased buying ratio occurred on lower-than-normal participation. The coin saw a price change of -9.1% over the last 8 days, with a total Volume Delta of -$3,911,153. This means that despite today’s relative strength, the broader weekly trend has been dominated by net selling. Trading activity has been subdued compared to typical days, with volume significantly below the weekly norm.