Introducing aWETH Redemption Protocol With ETH utilization at 100% on Aave, many lenders are currently unable to withdraw and face increasing risk if markets move. aWETH Redemption Protocol allows ETH lenders to: • Exit into wstETH or weETH • Regain immediate liquidity • Reduce exposure to liquidation risk If... you’re just lending ETH — you can fully exit. If you have ETH collateral and another debt — your collateral is seamlessly swapped into wstETH or weETH while your debt remains the same. We’re working alongside Lido , ether.fi, 0x, 1inch, Kyber Network, and other ecosystem partners to: • Reduce systemic risk in DeFi • Ease utilization pressure • Support a healthier DeFi market Our goal is simple: protect users while reinforcing the foundations of DeFi. Capacity is initially limited to $1B in ETH.show more

how does it work?

great work

@ether_fi 20% haircut 😭

I think it is worth it for huge whales, like 10k ETH Because you can swap with the @DefiLlama aggregator with a better price onchain.

Good move to effectively wind down the instadapp Lite ETH vault position while giving an exit ticket to ETH lenders.

🌊 🌊 🌊

this is how defi stays liquid. adapt and keep moving or get stuck well played

🤝

this is actually huge, finally some common sense solution to the stuck lending lets see if it stays liquid during volatility or dries up same as everything else

what about arbitrum network. i tried and it only said eth main net

👀

Neat mechanic: if you're a pure ETH lender, you fully exit. If you hold ETH collateral with debt in another asset, the collateral gets seamlessly swapped into wstETH/weETH while debt stays intact. Surgical fix for the utilization crunch — no forced unwind.

how much as been swapped? or what is a good way to track?

are you exposing my wstETH to shit?

Super strong response after USR. Nice job

L2???

this is clever but assumes the bad debt will be covered in the long term. otherwise it's just shifting chairs on the deck

Nice, it has an effective cost of 2% per swap

prolly worth highlighting how much fluid takes in fees ?

Why I can't withdraw any of USDC lended on Arbitrum chain, without any debt??? The same on Plasma!!!

the biggest flaw in this protocol is assuming there won't be a cascade effect from people trying to exit simultaneously, exacerbating the very market instability it's meant to mitigate

Weeth looks like it has zero liquidity..how would one withdraw after the swap with zero liquidity

What about freezed fluid lite pool? When it will be open? What is the loss? It's about 150kk tvl. Silense and no ux mark is the illustration of total disrespect

good stuff but wow im takin a haircut it seems

This is such an amazing move @0xfluid & co. For the industry to flourish and stabilize this is such an important Collab.

Real DeFi builders handle 100% lent money with aToken. WLFI threatens you to agree to a locking duration or kiss goodbye to your money forever #Aave #WLFI #DeFi #Ethereum #Bitcoin

🫡

I can’t withdraw from the lite vault

Hi @0xfluid can I swap my ETH collateral to WeETH then pay my borrows in USD? Thank u

smart move for liquidity resilience

🌊🌊🌊

good move

What about Base network?

Can we refinance on fluid while i have collateral and borrow on Aave