News
Fintechs, neobanks, and all other businesses building on Privy can now offer Aave-powered yield to their users through Privy Earn.
What is Privy?
Privy provides wallet infrastructure for apps. Teams use Privy to create and manage embedded wallets for their users, so users can hold and move digital assets inside an app without managing a separate wallet.
Privy Earn lets apps deposit user balances into yield-bearing vaults, process withdrawals at any time, and track positions in real time through a standard set of API calls.
Why Offer Aave-Powered Yield?
Idle stablecoin balances sitting in an app's wallets earn nothing by default. Connecting them to Aave gives users access to the most established lending market in DeFi, where yield comes from interest paid by borrowers. Aave has operated since 2020 and has processed more than $1.3 trillion in loans along with $4 trillion in total deposits.
Operating at this scale has made Aave the deepest source of onchain liquidity, which matters for any business that needs to run reliably as it grows.
By integrating through Privy Earn, each app can choose a fee to collect through Privy's API, providing a revenue source tied directly to its users' balances. Privy handles transaction preparation, signing, and broadcasting, so a team can add yield to an existing product without building or maintaining its own Aave integration.
What Teams Can Build Today
Teams can launch an Aave USDC vault on Base directly from the Privy Dashboard under Wallet infrastructure, then Earn. Once the vault is set up, Privy issues a vault ID that the app uses for every deposit and withdrawal.
When a user deposits, Privy handles the token approval and the deposit in a single API call. The vault follows the ERC-4626 standard, so deposits convert into vault shares that grow in value as interest accrues. Users have nothing to claim or compound, and withdrawals return principal plus earned yield. The app can read each user's holdings and accrued yield through the positions endpoint and track deposit status through webhooks.
If the app has gas sponsorship enabled, Privy sponsors gas for deposits and withdrawals by default. Teams that want additional Aave vaults beyond Aave USDC on Base can contact the Privy team to enable them.
Learn more here.
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