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What the timeline buried, caught once.

LlamaRisk proposes dynamic borrowing caps for Aave V3

On November 14, 2026, TechFlow reported that risk-management firm LlamaRisk had proposed LlamaGuard Caps on the Aave governance forum. The proposal would introduce dynamic borrowing caps for Aave V3 to limit how quickly borrowing grows for each reserve asset. It remained a proposal, not a deployed change.

Under the proposed mechanism, available borrowing capacity would replenish automatically in response to demand. After a large repayment or liquidation, excess capacity would contract. Chainlink CRE would calculate increases to the caps, while the relevant boundaries would be enforced on-chain. Approved large borrowers and institutional clients would have a dedicated borrowing path.

Original report: TechFlow, published November 14, 2026, at 03:03 (UTC+8).