Aave Labs Acquires Stable Finance to Accelerate Consumer DeFi Expansion

Aave Labs, the entity behind the prominent decentralized lending protocol Aave, has announced its acquisition of San Francisco-based fintech startup Stable Finance. The strategic move aims to significantly enhance Aave Labs' development of consumer-facing decentralized finance (DeFi) products, integrating user-friendly stablecoin savings into its ecosystem. The announcement was made on October 23, 2025, with Liam Horne, an early explorer in the stablecoin space, congratulating the StableApp team on the acquisition.

Stable Finance, known for its mobile application that simplified access to stablecoin money-market yields for U.S. users, will see its technology and team integrated into Aave Labs. Founder Mario Baxter Cabrera and his engineering team will join Aave Labs, with Cabrera taking on the role of Director of Product. This acquisition underscores Aave Labs' commitment to making "onchain finance into everyday finance," according to Aave Labs founder Stani Kulechov.

The acquisition marks Aave Labs' third talent-driven purchase, following Sonar in 2022 and Family in 2023, reinforcing its focus on product design and user accessibility. While Stable Finance's standalone app will be phased out, its underlying technology and user experience design are expected to power future Aave Labs offerings. Users of the existing Stable platform will maintain full access to their funds during the transition.

This strategic expansion into retail DeFi follows Aave's recent success with its institutional platform, Horizon, which garnered over $300 million in deposits since its August launch. The move positions Aave Labs to bridge the gap between institutional and retail users, aiming to make earning, borrowing, and saving in stablecoins as intuitive as traditional banking applications. Financial terms of the acquisition were not disclosed.