{"id":13397,"date":"2026-09-17T23:36:40","date_gmt":"2026-09-17T23:36:40","guid":{"rendered":"https:\/\/cryptonews.uk.com\/?p=13397"},"modified":"2026-09-17T23:36:40","modified_gmt":"2026-09-17T23:36:40","slug":"aave-v4s-arc-market-is-swimming-in-76-million-of-usdc-nobody-is-borrowing","status":"publish","type":"post","link":"https:\/\/cryptonews.uk.com\/?p=13397","title":{"rendered":"Aave V4\u2019s Arc market is swimming in $76 million of USDC nobody is borrowing"},"content":{"rendered":"

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Aave V4 went live on the Arc Layer-1 network on Sept. 16 and attracted USDC almost immediately. By Sept. 17, point-in-time Aavescan data showed roughly $76 million supplied, less than $100,000 borrowed, and utilization near 0.1%.<\/p>\n

Suppliers quickly filled the market\u2019s initial capacity, but borrowers had put almost none of that liquidity to work.<\/p>\n

LlamaRisk responded to the deposit rush by proposing an increase in the Arc Main Spoke\u2019s USDC add cap from 56 million to 150 million tokens. The balance later moved above the former ceiling, showing that 56 million was no longer binding.<\/p>\n

However, the governance post and live market page did not identify the exact replacement setting as executed.<\/p>\n

What Arc\u2019s full cap actually measured<\/h2>\n

Aave V4 organizes liquidity through hubs and spokes. A hub holds liquidity, while spokes define how users interact with it. An add cap limits how much of an asset a spoke can supply into its hub.<\/p>\n

Aave\u2019s technical analysis describes them as the V4 equivalents of supply and borrow caps.<\/p>\n

Arc\u2019s Main Spoke launched with a 56 million USDC add cap and a 51 million USDC draw cap. LlamaRisk reported that the add cap reached 100% within hours, with 56 million USDC valued at about $55.99 million in its Sept. 16 snapshot.<\/p>\n

The launch figures separate supply-side capacity from credit use:<\/p>\n\n\n\n\n\n\n\n\n\n
Measure<\/th>\nLaunch or Sept. 17 reading<\/th>\nSignal<\/th>\n<\/tr>\n<\/thead>\n
Initial Main Spoke add cap<\/td>\n56 million USDC<\/td>\nMaximum supply through the spoke<\/td>\n<\/tr>\n
Main Spoke draw cap<\/td>\n51 million USDC<\/td>\nMaximum borrowing through the spoke<\/td>\n<\/tr>\n
USDC supplied<\/td>\nRoughly $76 million<\/td>\nLiquidity deposited into Arc Core V4<\/td>\n<\/tr>\n
USDC borrowed<\/td>\nLess than $100,000<\/td>\nCredit drawn from that liquidity<\/td>\n<\/tr>\n
USDC utilization<\/td>\nAbout 0.1%<\/td>\nShare of liquidity in use<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n
\"Arc\"Arc
Arc\u2019s USDC market held roughly $76 million in supplied liquidity but less than $100,000 borrowed, leaving utilization near 0.1%.<\/figcaption><\/figure>\n

This also explains why Aave\u2019s broader V4 deposit figures cannot be treated as Arc growth alone. LlamaRisk said deposits increased from $577.1 million to $708.6 million between its Round 16 and Sept. 16 snapshots, but that total covered six hubs.<\/p>\n