BlockBeats news, on December 24, according to a proposal in the Aave governance forum, Aave is considering integrating a new Chainlink oracle aimed at redistributing profits from front-running trades back to the users of DeFi protocols.
On December 23, decentralized oracle provider Chainlink launched Smart Value Recovery (SVR), an oracle service specifically designed to extract profits from Maximal Extractable Value (MEV) for the benefit of DeFi protocols. On the same day, Aave proposed to integrate SVR to 'recapture MEV from Aave liquidations and return it to the Aave ecosystem.'
Aave stated that Chainlink's SVR is a service that sells a 'repurchase right' of Chainlink price feedback oracles and liquidation profits through MEV-Share auctions. Aave estimates that SVR can capture about 40% of MEV profits, which can be redistributed to Aave DAO for the benefit of users.
