The post Aave and Chainlink Launch SVR to Boost Protocol Efficiency appeared on BitcoinEthereumNews.com.

Aave integrates Chainlink’s SVR to reclaim lost oracle value and boost protocol income. SVR rollout includes tBTC, LBTC, AAVE, and LINK, with plans to expand to more assets. Aave has just activated integration with Chainlink through its Smart Value Recapture (SVR) service on the Ethereum mainnet. While the DeFi world is usually busy patching up losses due to liquidation activities, this time they are turning things around. SVR is here to reclaim the value that has been lost, especially from what is known as Oracle Extractable Value (OEV). So, not only does it keep the protocol safe, but it can now also increase income. .@aave has officially integrated Chainlink SVR in a near-unanimous vote to recapture liquidation MEV, starting with an initial set of markets. As the largest DeFi lending protocol, Aave is establishing a new standard in cryptoeconomics with SVR.https://t.co/beN712BymB 🧵⬇️ pic.twitter.com/kF9EtdcyRV — Chainlink (@chainlink) March 28, 2025 If we make an analogy, this is like a shop owner who has been letting change fall on the floor because he is too busy. With SVR, Aave can now sweep all that change back into the cashier’s drawer. This system works by utilizing data from Chainlink oracles and integration with Flashbots’ MEV-Share to secure and redistribute value that was previously siphoned off by block builders during the liquidation process. SVR Rolls Out With Fair Value Distribution Model For the initial stage, the implementation of SVR will include assets such as tBTC, LBTC, AAVE, and LINK. The long-term plan, of course, is to expand this to other assets over time. Interestingly enough, the distribution of SVR returns doesn’t just go to one party. For the first six months, 65% of the OEV value returned will be given to the Aave community, while the other 35% will be converted into LINK tokens…

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Filed under: News - @ March 29, 2025 7:16 am