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Aave V4 enables borrowing USDC against EURC on Circle's Arc network with risk isolation.

Protocol Fundamentals
15 Oct 2026
Crypto Briefing
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Neutral
Aave V4 enables borrowing USDC against EURC on Circle's Arc network with risk isolation.

Aave V4 has launched a new Forex spoke on Circle's Arc network allowing users to borrow USDC stablecoins against EURC euro stablecoins without selling them. This hub-and-spoke design isolates the risk of EURC collateral to the Forex spoke, protecting the main liquidity hub. Currently, liquidity in the Forex spoke is small, with a $10 million cap on EURC to limit risk due to thin secondary markets. The move targets stablecoin-native and institutional users, with potential growth if demand and liquidity increase.

Aave V4's new Forex borrowing feature on Circle's Arc network is the subject, with Pluang market data providing context. As of Oct 16, 2026 05:41 WIB, 31 of 50 major cryptocurrencies on Pluang rose while 18 fell. Among notable gainers, BAL (Balancer) increased by 11.14% to Rp16.297, surpassing CRV's 9.35% rise to Rp6.423, which also saw a dominant 98% buy order activity, and EOS grew by 8.13% to Rp12.649. Typical hold times range from 62 to 87 days across these assets.

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