# Pendle Integration Adds Live Rate Inputs to Aave Risk Settings

By Simon Yoon

Canonical URL: https://www.tokenpost.com/news/technology/33257
Published: 2026-10-16T12:40:37.000Z
Updated: 2026-10-16T12:40:37.000Z
Section: Technology

> Pendle’s implied rates will inform collateral settings within governance-set limits.

Pendle announced an integration that will let Aave use Pendle’s implied rates as live inputs for risk parameters tied to collateral, linking yield-market rates with the lending protocol’s risk settings.

Aave is a decentralized lending protocol for borrowing and lending crypto. Pendle is a decentralized finance protocol that tokenizes yield-bearing assets. The integration brings Pendle’s implied rates into Aave’s collateral-setting process.

The rates are intended to help inform collateral settings based on market conditions. Those settings remain within governance-set limits.