Aave Protocol migration tool released
The wait is finally over — the migration tool to upgrade full positions from Aave V1 to Aave V2 is now available to all users!
Seamless upgrade
Migrating full positions, even when you have positions opened, is now accessible directly on your V1 dashboard.
Under the hood, the migration tool is powered by Flash Loans and in a single transaction will:
- take liquidity from Aave V2
- use it to pay back your loans in V1
- migrate your V1 collateral to V2
- open up equivalent positions in V2
- bring back the liquidity to V2
This complex transaction is done on auto-pilot so all you need to do on your side is select the collaterals and positions you want to upgrade and click on ‘migrate’.
Reminder: you will need ETH to cover the transaction fees of this transaction.
If you have positions opened, the tool will inform you of your new HF. Please be mindful of this new HF to mitigate liquidation risks.
Complex operations on the Ethereum blockchain can be costly, so if you have many assets borrowed and deposited into V1, feel free to migrate in several batches.
We do not recommend migrating more than 5 assets (Deposited & Borrowed) in a single migration transaction.
The future of V1
The Aave Protocol V2 is the future of Aave and already ~820M$ of liquidity adopted the upgraded version of Aave, but feel free to migrate to V2 at your own pace! The V1 contracts are always running on the Ethereum Blockchain. Even if V1 slowly fades in favour of V2, the contracts will remain accessible in the future.
A progressive V1 -> V2 transition plan is currently being discussed with the community to slowly fade V1 in favour of the V2 upgrade by disabling asset reserve borrows gradually.
Even in this scenario, however, your deposits will remain fully accessible, and you will be able to add collateral to protect your Health Factor,
you will also keep the ability to migrate at any point.
Feel free to join the discussions on this topic on the governance forum.
If you want to stay updated on Aave upgrades and news, feel free to follow Aave on twitter or join the official Discord channel!
See you on V2!
