Introduction
Avana turns supported LP positions into borrowable collateral inside Aave v4's Hub-and-Spoke architecture. This page is the mental-model overview: where LP specific underwriting lives, how shared Hub liquidity is used, and which deeper docs to read next.
What is Avana?
Avana is a lending protocol built for LP collateral that stays active in the underlying AMM. The protocol uses Aave v4's Hub-and-Spoke model so shared liquidity can stay in the Hub while LP-specific admissibility, valuation, and liquidation logic stays inside the spoke.
Protocol thesis
LP collateral only works when the protocol can reason about what is in the pool, how it should be priced, how much can be borrowed against it, and how it can be unwound safely if the position deteriorates.
How to read these docs
Start with the canonical borrowing path first, then move into the Borrow Spoke, Invest Spoke, collateral factors, and pricing pages. The architecture and risk pages define the protocol model; testnet and operational pages are supporting references.
How It Works
The borrowing flow is short at a high level, but each step carries LP-specific logic. Read it as the canonical path that the rest of the documentation expands.
- 01
Deposit a supported LP position
A user deposits an approved LP position into the appropriate Borrow Spoke while the underlying liquidity remains active in the AMM.
- 02
Value it conservatively
The spoke reconstructs exposure, prices it through the oracle stack, and applies collateral factors plus pool-specific risk controls.
- 03
Borrow through the Hub
Once capacity is available, debt is funded from shared Hub liquidity while health checks and liquidation logic stay spoke-aware.
Why LP Collateral Matters
The point is not just to borrow against LPs. The point is to do it in a way that preserves productive capital and keeps the credit rules enforceable.
Keep capital productive
Users can access liquidity without fully exiting the pools that continue generating fees and market exposure.
Underwrite the real position
Pool composition, fee accrual, price range, liquidity depth, and unwind quality all matter for borrow capacity.
Make liquidation enforceable
LP collateral needs explicit recovery rules instead of being treated like a static token balance.
Architecture
Avana separates LP-specific underwriting from the shared liquidity layer. The three blocks below are the simplest way to read that split.
Borrow Spoke
Receives LP collateral, values positions, tracks capacity, and enforces health and liquidation behavior.
Hub
Provides the shared monetary layer: reserves, accounting, interest rate logic, and liquidity coordination.
Invest Spoke
Routes supplier capital into the Hub so LP-specific underwriting stays separate from capital entry.
Borrow Spokes own admissibility, valuation, health checks, and liquidation behavior. The Hub owns shared reserves and accounting. The Invest Spoke routes lender capital into that shared liquidity layer.
Current Scope
These docs focus on the core protocol model first. Operational details are documented separately so they do not redefine the main lending architecture.
Core protocol model
- Approved LP pool admission
- Position valuation and collateral factors
- Aggregate borrowing capacity inside each spoke
- Hub-mediated borrowing and repayment flows
- Health checks and liquidation discipline
Operational references
- Testnet availability and rollout timing
- Campaigns, incentives, and rewards
- Deployment addresses and interface policies
- Operational fee settings and UI-level switches
Next Steps
Use the intro page to route into the specific part of the protocol you need. These links preserve the canonical reading path without turning the landing page into a grid of large cards.
Start here
- Key Concepts
Understand the canonical LP-backed borrowing model.
Protocol architecture
- Borrow Spoke
See the borrower-facing execution layer.
- Invest Spoke
See how lender capital enters through the Hub.
- Collateral Factors
Understand how LP value becomes borrowable capacity.
Risk and pricing
- Price Oracles
Learn how LP collateral is priced conservatively.