If you’re diving into the world of decentralized finance (DeFi), you’ve probably heard about borrowing assets to maximize your crypto holdings. A recent tweet from Stani Kulechov, the mind behind Aave, highlights why Aave is the go-to platform for borrowing USDC against cbBTC on the Base network. Let’s break it down and see what makes this such an exciting opportunity!

Why Aave Stands Out on Base

Stani’s tweet, posted on July 13, 2025, points out that Aave offers the lowest borrow rate for USDC on Base. The image attached shows some juicy details: a variable APY of 5.39% and a whopping $131.08 million borrowed out of a $220.77 million cap. That’s a 59.37% utilization rate, leaving $90 million in available liquidity—way more than the next closest option, which sits at $60 million with extra rate volatility.

For those new to this, APY (Annual Percentage Yield) is the rate you earn (or pay) over a year, including compound interest. A lower borrow APY, like Aave’s 5.39%, means you’re paying less to borrow, which is a big win. The chart also shows the average borrow APR (Annual Percentage Rate) hovering around 5.07% over the past month, proving the rate’s stability.

What is cbBTC, and Why Does It Matter?

cbBTC is a tokenized version of Bitcoin created by Coinbase, wrapped to work seamlessly with Ethereum-compatible networks like Base. Think of it as a bridge that lets you use Bitcoin in DeFi applications, such as lending or borrowing. By using cbBTC as collateral on Aave, you can borrow USDC—a stablecoin pegged to the U.S. dollar—without selling your Bitcoin. It’s a smart way to unlock liquidity while holding onto your BTC.

How to Get Started

Wondering how to jump in? One user asked Stani a great question: “Do I buy cbBTC on Coinbase, move it to a wallet, and connect to Aave?” The answer is yes, and it’s pretty straightforward! Here’s a quick guide:

1. Buy cbBTC: Head to Coinbase, convert your BTC to cbBTC, and ensure it’s backed 1:1 with Bitcoin.
2. Move to Wallet: Transfer your cbBTC to a compatible wallet like MetaMask, which supports the Base network.
3. Connect to Aave: Visit app.aave.com, connect your wallet, and deposit cbBTC as collateral. Then, borrow USDC up to your credit limit.

Easy, right? Just make sure you understand the risks, like market volatility or liquidation if the value of your collateral drops.

The Buzz Around the Tweet

Stani’s post sparked a lively thread. Some users cheered the news, while others pointed out competitors like MoonwellDeFi, which offers a lower 4.4% rate. Still, Aave’s higher liquidity and stability seem to give it an edge. Others are excited about gaming on Base or integrating tools like Infinox, showing how this move could ripple through the DeFi ecosystem.

Final Thoughts

Aave’s low borrow rates and massive liquidity make it a standout choice for borrowing USDC against cbBTC on Base. Whether you’re a seasoned DeFi user or just starting, this could be a game-changer for managing your crypto assets. Keep an eye on the thread for more updates, and feel free to experiment—just always do your homework!

Ready to dive in? Check out Aave’s platform and start exploring today!