MegaETH Opens Its Doors But Can Local Protocols Keep Their Ground?
Aave V3 going live on MegaETH should have been a clean win: a top lending protocol, a high-performance chain, incentives lined up on both sides.
MegaETH Opens Its Doors But Can Local Protocols Keep Their Ground?
Aave V3 going live on MegaETH should have been a clean win: a top lending protocol, a high-performance chain, incentives lined up on both sides.
But the rollout revealed something the charts don’t show the ecosystem isn’t fully sure what it wants from success.
How Aave Sees It: Another System to Scale
From Aave’s side, the move is predictable. MegaETH’s millisecond execution isn’t a narrative hook, it’s a performance sandbox where lending can run at hardware limits.
The vote reflected this clarity: 99.99% approval, no notable opposition.
The incentives: 30M points and a possible 6% MEGA unlock, aren’t controversies for Aave; they’re fuel.
Aave isn’t entering to challenge locals. It’s entering because MegaETH looks like a place where the protocol can run faster than anywhere else.
The MegaETH Lens: Momentum With a Cost
Inside MegaETH, the picture feels less tidy. Aave brings volume, but volume compresses everything around it.
Protocols like Avon were built to showcase MegaETH’s native edge: real-time credit, sub-second risk signals, low-latency design. But Aave’s global TVL can overwrite that story before it’s fully written.
A new chain rarely struggles for attention; it struggles to keep its early shape when a giant steps in.
Aave wants expansion. MegaETH wants identity. Both ambitions can coexist, but not without friction, and that’s why the deployment feels less like a milestone and more like the first move in a balancing act.
As liquidity arrives and gravitational pull sets in, MegaETH faces a simple but uncomfortable question: