Aave
दर पुनर्संतुलन फ्लोचार्ट
Context
This figure appears at the end of Section 4.5 'The Rebalancing Process' and provides a step-by-step flowchart for the rebalanceStableBorrowRate() function, which adjusts a specific user's stable borrow rate when market conditions have drifted too far from their locked rate. It is the concluding technical diagram of the whitepaper's protocol design sections. The flowchart shows all decision branches — rate too low, rate too high, and no action needed.
What This Figure Shows
The Rate Rebalancing Flowchart begins when rebalanceStableBorrowRate(reserve, user) is called on the LendingPool by any external actor. The function first retrieves the user's current locked stable rate (Bxs) and compares it against two thresholds: a rebalance-up condition (Bxs < Rl, meaning the borrower is paying less than the deposit rate — effectively earning by borrowing) and a rebalance-down condition (Bxs > Bs × (1 + delta), meaning the borrower is paying excessively above the current market stable rate). If either condition is met, the user's stable rate is updated to the current value of Rs without affecting the compounded balance already accumulated before the rebalance. The flowchart shows that if neither condition is met, no action is taken. Any user or automated agent can call this function; Aave provides an off-chain monitoring agent but places no trust requirement on it.
Significance
The rebalancing mechanism is what makes Aave's 'stable' rate viable as an open-term, pool-based product rather than a true fixed rate. Without rebalancing, borrowers could lock in artificially low rates during high-liquidity periods or force the protocol into losses when their rate falls below the deposit rate. The dual-direction rebalancing (up and down) creates a fair corridor: borrowers are protected from being stuck at excessively high rates, while depositors are protected from lending to borrowers at rates below what depositors themselves earn. The permissionless design of the function ensures the system remains self-correcting even without Aave's monitoring agent.
