The Ethereum Foundation borrowed $2 million by tapping into DeFi for liquidity, according to the Aavechan Initiative's founder, Marc Zeller.
Aave's value proposition of unlocking liquidity without selling core assets allowed the Ethereum Foundation to use wETH and GHO for collateral, retaining exposure to Ethereum while accessing capital.
Stani Kulechov, founder of Aave, praised the move as a demonstration of DeFi's utility cycle and how long-term holders can access stable liquidity while supporting Ethereum's ecosystem goals.
This move by the Ethereum Foundation signifies a significant endorsement of GHO and DeFi's use cases, showcasing institutional support for decentralized financial solutions and encouraging broader adoption within the crypto ecosystem.