Today Aave Labs announced Aave V4 as the next‑generation liquidity layer for onchain finance, built around a modular hub‑and‑spoke architecture that supports many market types while keeping liquidity unified. 

Global Dollar Network is excited to welcome Aave Labs to the partner network and introduce USDG as a native asset on V4, working together to scale regulated dollars onchain.

Why Aave V4 is different

Aave V4 is designed to connect decentralized finance with the global financial markets. 

DeFi markets have often faced tradeoffs between how to support new market types without constraining liquidity. Aave V4 brings a hub-and-spoke architecture that allows distinct financial markets to operate with their own parameters and asset types while remaining connected through a shared liquidity and risk framework. This unified liquidity model is designed to power growth by making it easier for DeFi to connect with the broader financial ecosystem.

A critical component of that connection will be secure, stable dollar access, which is why we’re excited that Aave is joining the Global Dollar Network and making USDG a native asset on V4.

Bringing USDG to V4

USDG brings two things that matter for the next phase of V4: trustworthy digital dollars and rewards that flow back into the ecosystem, not out of it.

A trusted, regulated dollar asset

USDG is issued by Paxos on behalf of Global Dollar Network under a regulated framework, backed 1:1 by cash and cash-equivalent reserves, and designed for institutional use. That makes it a stable building block for V4’s new markets:

• Regulated and reserve-backed: Built on the same regulatory, custody and transparency standards Paxos uses for its other institutional stablecoins.

• Institution-ready: Structured to meet the risk and compliance expectations of exchanges, fintechs and financial institutions that want onchain dollar exposure.

• Composable in DeFi: ERC-20 native with growing secondary market liquidity, so it can plug cleanly into Aave V4’s hubs and surrounding DeFi primitives.

More rewarding by design

On Aave V4, USDG isn’t just another borrow/lend asset — it’s wired so that rewards created by USDG flow back to users and integrators. 

Aave has committed that the rewards it earns through activity as a Global Dollar Network partner will be invested in the ecosystem and the growth of USDG on V4 by strengthening the market (more depth, better incentives, richer integrations), instead of being siphoned off as protocol or issuer revenue.

The result is that every additional dollar of USDG on Aave V4 doesn’t just add liquidity — it also amplifies the reward pool available to grow the ecosystem, making USDG a more attractive base asset for both DeFi users and institutions building on V4.

You can get started with USDG on V4 now here.

About USDG
USDG powers Global Dollar Network and is available on Solana, Ink, X Layer and Ethereum. USDG is issued by Paxos Digital Singapore, which is a Major Payments Institution supervised by the Monetary Authority of Singapore. USDG is also issued by Paxos Issuance Europe under the supervision of FIN-FSA and in compliance with MiCA. 

About Global Dollar Network
Global Dollar Network is the world’s fastest-growing stablecoin network with unmatched economic upside. Powered by Global Dollar (USDG), a US dollar-backed stablecoin issued by Paxos Digital Singapore and Paxos Issuance Europe, Global Dollar Network offers a transparent and equitable economic model that rewards partners for their contributions. Global Dollar Network partners include industry leaders such as Anchorage Digital, Bullish, Kraken, Nuvei, OKX, Paxos, Robinhood, Worldpay and more.

About USDG in the EU
Paxos issues USDG in the EU through Paxos Issuance Europe Oy ("PIE"). USDG is fully redeemable from Paxos on a one-to-one basis for U.S. dollars. All USDG token holders in the EU have a right of redemption against PIE at any time and at par value for USDG. Further information is available at paxos.com/eu, and the EU USDG White Paper is available at www.paxos.com/terms-and-conditions/usdg-eu-whitepaper. 

Contact information:

Email: support@paxos.com
Telephone: +358 4549 00 361

Note: USDG is available on Solana, Ink, X Layer and Ethereum.