Aave Labs Acquires Stable Finance to Develop DeFi Consumer Products
Decentralized finance firm Aave Labs has acquired FinTech company Stable Finance. This acquisition aims to accelerate Aave Labs’ development of consumer-focused products.
Stable Finance’s Stable app simplifies stablecoin savings. It makes it easy for users to deposit funds from bank accounts, debit cards or crypto. Additionally, users can earn interest on their digital dollars. Aave Labs said this in a blog post.
The addition of Stable Finance’s capabilities will support Aave Labs’ “next phase.” During this phase, the company plans to use its DeFi experience to build both institutional and accessible consumer products, according to the post.
“We believe the future of finance is on-chain, and this acquisition reinforces our commitment to turning on-chain finance into everyday finance — earning interest, borrowing and saving,” Aave Labs Founder Stani Kulechov said in the post.
Stable Finance founder Mario Baxter Cabrera will join Aave Labs as its director of product. The entire Stable Finance engineering team will also join the company. They will continue to develop consumer savings apps there, according to the post.
Aave Labs will phase out the current Stable app and use its technology in future products, per the post.
In a Thursday post on X, Baxter said that Stable was founded to “make stablecoin savings effortless and usable by everyday people.” He also noted that the company has “grown relentlessly at over 60% MoM (month-over-month) into the world’s leading stablecoin savings app.”
“Stable’s mission will continue stronger than ever under [Aave’s] umbrella,” Baxter said in another post. “We will onboard the world to DeFi without them knowing it. Stay tuned!”
Aave Labs also said in its blog post that it launched an institutional product, Horizon, in August. Horizon now has $300 million in deposits, per the post.
The company said in a blog post that Horizon is a lending market on Ethereum. It lets institutions and other qualified users borrow stablecoins against real-world assets.
“Today, tokenized RWAs (Risk-Weighted Assets) give institutions exposure to traditional assets on-chain, but they remain largely siloed from DeFi,” the company said in the post. “These assets are underutilized and capital-inefficient, unable to serve as collateral and effectively isolated from on-chain capital markets.”
“Horizon changes this by enabling RWAs to serve directly as collateral within DeFi,” the post said. “Institutions can unlock stablecoin liquidity against their tokenized assets without needing to sell or redeem them, turning RWAs into productive building blocks within on-chain finance.”
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