Aave Raises BTC and ETH Collateral Borrowing Limits on V3 and V4

The change matters less as a headline than as a risk-calibration decision: loosening loan-to-value on the two most liquid collateral assets is a quiet statement that Aave's risk framework is comfortable with current volatility conditions. It cuts both ways, since the extra 11% capacity also narrows the liquidation cushion for anyone who uses it fully, and that shows up in stress, not in calm markets. Users of the core WBTC and cbBTC markets are the ones directly affected. Worth watching is whether utilization and liquidation activity near the new limits shift, and whether similar parameter changes follow on other deployments.