Aave V3 Risk Stewards, acting on LlamaRisk recommendations, have approved doubling the EURC supply cap from 46 million to 92 million on the Ethereum Core instance after utilization hit 97.9%, and raising the USDm cap from 600 million to 1 billion on MegaETH. The EURC cap had been near its ceiling for several consecutive days, reflecting sustained institutional demand for regulated euro-denominated stablecoin yield on Ethereum.
For Armada's crypto-repo desk, near-full utilization of EURC on Aave signals strong counterparty demand for euro stablecoin exposure, which is relevant if Armada prices euro-denominated crypto repo or accepts EURC as collateral. The USDm expansion on MegaETH indicates growing dollar stablecoin liquidity on alt-L2 infrastructure. Both developments should be tracked as indicators of stablecoin collateral depth and borrow cost benchmarks.