Babylon Proposes Native Bitcoin Lending on Aave V4
Babylon's proposal to enable native Bitcoin collateral on Aave V4 advances through governance but requires further votes and security reviews.
Babylon's proposal to enable native Bitcoin collateral on Aave V4 advances through governance but requires further votes and security reviews. Bitcoin (BTC) is trading at ₹77,10,996 ($80,953.00). This is an original Token Times brief synthesising 2 outlets (Cointelegraph, Crypto.news), plus live market data, as of Thu, 15 Oct 2026 12:00:02 UTC.
This development could significantly expand Bitcoin's utility in DeFi by allowing BTC holders to borrow stablecoins without needing to wrap their assets, potentially increasing Aave's market share and liquidity.
- Babylon's proposal aims to bring native Bitcoin collateral to Aave V4.
- BTC holders could borrow stablecoins without wrapping their coins.
- Proposal has entered a new governance stage but needs additional votes and security reviews.
- Aave TVL is $17.81B while Babylon's TVL is $3.31B.
Cointelegraph and Crypto.news both report that Babylon has proposed enabling native Bitcoin lending on Aave V4, which would allow BTC holders to borrow stablecoins without wrapping their coins. They agree that the proposal has entered a new governance stage but requires further votes and security reviews before implementation. However, Cointelegraph provides additional context about the potential impact on Aave's market position, while Crypto.news emphasizes the technical aspect of avoiding the need for wrapped Bitcoin.
Babylon has proposed a new feature for 
Aave V4 that would enable native 
Bitcoin collateral, allowing BTC holders to borrow stablecoins directly without the need to wrap their Bitcoin. This proposal aims to leverage Bitcoin's liquidity within the decentralized finance (DeFi) ecosystem.
According to on-chain data from DeFiLlama, Aave currently has a total value locked (TVL) of $17.81 billion, while Babylon's TVL stands at $3.31 billion. The proposal's success could potentially increase both platforms' TVL by attracting more Bitcoin holders to the DeFi space.
The proposal has entered a new stage of the governance process, but it is not yet finalized. Multiple outlets, including Cointelegraph and Crypto.news, report that further votes and security reviews are required before the feature can be launched on Aave V4.
The broader crypto market context shows a slight downturn, with the total market cap at $2.78 trillion and Bitcoin's price at $80,897, down 2.87% in the last 24 hours. Aave's native token, AAVE, has also seen a decline of 7.12% in the same period.
The proposal's success could have significant implications for the DeFi landscape, potentially increasing the adoption of Bitcoin in decentralized lending and borrowing. Observers should watch for further governance votes and any security review outcomes.
Since this brief published about 3 hours ago, Bitcoin (BTC) has moved from ₹77,05,661.80$80,897.00 to ₹77,10,995.95$80,953.00 — +0.07%.
The chart plots BTC's price: grey is the move before this brief published, the vertical dashed line marks the moment it published, the horizontal dashed line is the price then, and the coloured area is the move since — from Token Times's market data (daily resolution). It shows what happened after the news, not that the news caused it; many factors move prices. Not financial advice.
Will Bitcoin dip to $80,000 in October?
Crowd-implied probability on Polymarket, ₹7.73M 24h volume, resolves Nov 1 — snapshotted when this brief published (Oct 15 11:05 UTC). A market price reflects what traders collectively expect; it is not a forecast by Token Times and will have moved since. View the market ↗
At today's peer-to-peer rate, 1 BTC ≈ ₹8.37M (about $80,953.00), down 2.9% over 24 hours. The rupee itself trades about 8.5% above the official rate on the P2P market, so a Indian buyer's effective cost differs from the headline dollar price.
Live market data
Current prices for the assets in this story — live, source-stamped, updated every 15 minutes.
Figures and sectors in this story, checked live against on-chain aggregators · October 15, 2026.
Token Times reads these figures directly from on-chain aggregators (DeFiLlama, mempool.space) at build time — independent of what any outlet reported. Sector totals aggregate every protocol DeFiLlama tracks in that category. Values are live and will change.
Babylon Proposes Native Bitcoin Lending on Aave V4 — questions & answers
What is Babylon's proposal for Aave V4?
Babylon proposes enabling native Bitcoin collateral on Aave V4, allowing BTC holders to borrow stablecoins without wrapping their coins.
What is the current status of the proposal?
The proposal has entered a new governance stage but requires further votes and security reviews before implementation.
How much is Aave's TVL?
Aave's TVL is $17.81 billion, according to DeFiLlama.
How much is 1 Bitcoin worth in rupee today?
About ₹8.37M at the live peer-to-peer (P2P) USDT rate, which is what Indians typically trade at — equivalent to roughly $80,953.00. The rupee price moves with both BTC's US-dollar price and the USDT/INR rate; use our Bitcoin in rupee page for any amount.
Has Bitcoin's price moved since this brief was published?
BTC is up 0.07% since this brief first published — trading at ₹77,10,996 ($80,953.00) now versus ₹77,05,662 ($80,897.00) at publication. Token Times re-checks this figure against CoinGecko and Binance every 15 minutes.
Which outlets reported this story?
This is an original Token Times brief that synthesises reporting from Cointelegraph, Crypto.news, with the key figures cross-checked for agreement across them. It is not a copy of any one article — follow the source links above for the original reporting.
Original summary — not financial advice. This is an original Token Times brief that summarises a development reported elsewhere and adds live market data for context; it is not the original article and reproduces no part of it. Follow the source link above for full details. Crypto is volatile and high-risk — always do your own research.