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Luigi D'Onorio DeMeo

Verified account Aave

@luigidemeo

CSBO @aave, former CSO/COO @avax, Former @Citi / Most tweets autodelete
NJ Joined April 2010
5.9K Following 70K Followers 4.2K Posts

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Luigi D'Onorio DeMeo Verified account @luigidemeo
Some personal news*  I've recently joined @aave 👻 as Chief Strategy and Business Officer.

After ~4 months of rest and reflection regarding the state of the industry, my personal life, and my ambitions, I feel more invigorated and determined than ever to contribute to the crypto space.

When I stepped away from @AvaLabs earlier this year, I said I'd take time to think carefully about where I could contribute most. I’m grateful for the awesome opportunities I've been able to consider.

The answer became clear over the past months and many conversations with @StaniKulechov and the Aave Labs team. I've long known Stani and Emilio and admired their work. Like them, I believe the future of finance is onchain, and Aave is at the center of this evolution.

Aave has the opportunity to provide a better way to borrow and lend, and to build credit markets at internet scale. The legacy financial system is slow, fragmented, and quietly extractive, and most of the world is underserved by it. Aave has spent years proving, in production and across cycles, that an open and programmable alternative works at scale. The next chapter is about turning that foundation into the credit and capital markets layer of the internet.

In this new role, I'll lead strategy, business development, and core operational functions,  working closely with Stani and the team to strengthen what's already working while pursuing the next set of opportunities ahead of us.

I'm joining at a pivotal moment. The events of the past week have made clear there's real work to be done and lessons to be drawn. I’ve been working non-stop with the team on the recovery effort this past week and I have no doubt that Aave will emerge even stronger. What I've seen up close is grit, focus, and determination under pressure. This is exactly the kind of team I want to build alongside of, and it makes me even more confident about where this is all headed.

-Luigi
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Luigi D'Onorio DeMeo Verified account @luigidemeo
A new proposal by @LlamaRisk aims to reposition Aave's largest market, v3 core on Ethereum to focus on liquid, blue-chip collateral.
Stani Verified account @StaniKulechov 2d
LlamaRisk proposes repositioning Aave V3 Core, Aave's largest market, to focus on liquid, blue-chip collateral.

The proposal would remove several categories of exposure:

1. Restaking assets
2. Leveraged wrapping strategies
3. Issuers whose operational and security resources fall short of Aave's risk standards
4. Low-demand reserves that no longer justify ongoing maintenance

This means potentially moving $1.52B in collateral backing $1.17B in debt out of V3 Core in favour of blue-chip collateral.

As the risk landscape evolves and Aave V4 grows, the goal is to sharpen V3 Core's risk profile and raise the bar for collateral eligibility.

Some affected assets could transition to isolated Aave V4 markets, where more granular risk controls allow for better risk-reward alignment.

The proposal comes from LlamaRisk, an Aave Protocol Risk Manager, and remains subject to governance discussions and engagement with asset issuers.

Aave will continue applying continuous risk assessment for all assets across all deployments.
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