Glossary
GHO
Aave's native over-collateralized stablecoin — minted by users posting Aave collateral, with interest rates and supply caps set by Aave governance.
GHO launched on Ethereum in July 2023 as Aave's in-house USD stablecoin. Holders mint GHO by borrowing it against collateral they have supplied to Aave; the borrow rate is set by Aave governance (rather than algorithmically by pool utilization), and the entire interest payment accrues to the Aave DAO treasury.
Discount mechanisms reward stkAAVE holders with lower borrow rates. GHO's launch on Ethereum was followed by deployments on Arbitrum and Avalanche, with cross-chain transfers via Chainlink CCIP.