Aave v3 cbBTC DeFi Yield & Risk Rating
Aave v3 cbBTC Core Market is a lending pool on Ethereum for supplying and borrowing Coinbase Wrapped Bitcoin. Yield comes from borrower interest payments on the battle-tested Aave v3 protocol, governed by AAVE tokenholders with timelocked on-chain execution.
AUM
$1b
Net APY
0%
Active Users
2k
Type
Lending
Network
Ethereum
BBB+
Elevated RiskCeiling AA
AAAAAABBBBBBCCCCCCD
CurrentPotential
This rating is based solely on publicly available information. DeFi protocol risk assessed across Security, Strategy and Operations on the AAA–D scale. The range from BBB+ to AA reflects the gap between the current assessment and the potential rating achievable if all identified improvement areas are addressed.
SCSSmart Contract Security100
KMPKey Management Permissions91
MMarket100
LLiquidity100
CCollateral70
PMProtocol Mechanics93
ICEInfra Counterparty Exposures78
PCEProtocol Counterparty Exposures100
GGovernance100
FRFinancial Resilience87
TLCTeam Legal Compliance93
DTDocumentation Transparency100
Performance
Assets Under Management · 30D▲ 13.70%
$1b
Over the last 30 days, the total value of Aave v3 cbBTC has grown 13.70% with $178.26M in inflows.
Supply APY · 30D▲ 0.00%
0%
Over the last 30 days, the APY has increased from 0.00% to 0.00%.
Active Users · 30D▲ 7.90%
2k
Over the last 30 days, active users have increased by 7.90%, reaching 1.7K wallets.
Market Details
ChainEthereum
Treasury$125.00M
Stated Withdrawal TimeInstant
Component Ratings
Contract Addresses (8)
Key Strengths
S1Extensive independent audit coverage from top security firms with continuous formal verification across protocol versions
S2Guardian multisigs with diverse independent signers and timelocked governance execution on all protocol changes
S3Very low pool utilization leaves nearly all supplied cbBTC immediately withdrawable, minimizing bank-run risk for lenders
S4Battle-tested through record liquidation volumes with zero bad debt over a multi-year track record without permanent depositor loss
Key Risks
R1The market oracle prices cbBTC from a plain BTC/USD feed rather than a dual feed, so a cbBTC depeg from BTC would not be detected in pricing
R2Single-custodian dependency on Coinbase, whose token contract carries blacklist, pause, and admin capabilities that regulatory action could trigger
R3Full wrapped-asset concentration: the entire pool depends on Coinbase BTC custody, with a relatively short operational history compared to older wrapped BTC assets
R4Departure of the core codebase maintainer and a major governance delegate creates governance transition risk
Institutional-Grade Research
Delivered to Your Inbox
In-Depth Research ReportsIn-depth analysis on staking protocols and yield strategies
Risk Assessment ReportsComprehensive risk evaluations for capital allocators
Exclusive Events & Market IntelligenceEarly access to Digital Asset Yield Summit, and more
Join 12,000 institutional allocators worldwide. No spam, unsubscribe anytime.
