Aave Labs released an ARFC proposal on September 14 to deploy a new Aave V4 isolated Hub and Spoke, enabling institutionally custodied assets to be used as collateral for stablecoin borrowing. The first implementation would involve BTC held in Anchorage custody, with Anchorage retaining the underlying collateral throughout the full loan lifecycle. Parameters including collateral ratio, liquidation penalty, supply and borrowing caps, interest rate model, and oracle configuration will be submitted later by DAO risk service providers in a subsequent AIP. The proposal must pass ARFC feedback, Snapshot voting, and AIP stages.