AaveBorrower

​

Overview

​

Contract Details

• Source: src/AaveBorrower.sol
• License: GPL-3.0-or-later
• Solidity: ^0.8.28
• Address: 0x7d9C4DeE56933151Bc5C909cfe09DEf0d315CB4A (all networks)
• Inherits: Borrower, IAaveFlashLoanReceiver

​

Functions

​

flashLoanAndCallBack

function flashLoanAndCallBack(
    address lender,
    IERC20 token,
    uint256 amount,
    bytes calldata callBackData
) external onlyRouter

• lender: Address of the Aave V3 Pool contract
• token: ERC-20 token to borrow
• amount: Amount of tokens to borrow
• callBackData: Data to pass back to the router unchanged

​

executeOperation

function executeOperation(
    address[] calldata assets,
    uint256[] calldata amounts,
    uint256[] calldata premiums,
    address initiator,
    bytes calldata params
) external returns (bool)

• assets: Array of borrowed token addresses
• amounts: Array of borrowed amounts
• premiums: Array of flash loan fees
• initiator: Address that initiated the flash loan
• params: Encoded callback data (passed through unchanged)

​

approve

function approve(
    IERC20 token,
    address target,
    uint256 amount
) external onlySettlementContract

​

triggerFlashLoan (internal)

function triggerFlashLoan(
    address lender,
    IERC20 token,
    uint256 amount,
    bytes calldata callBackData
) internal override

• Interest rate mode is set to 0 (no debt position, must repay in same transaction)
• Referral code is set to 0 (Aave’s referral program is currently inactive)
• Assets and amounts are wrapped in single-element arrays

​

Execution Flow

1. Router calls flashLoanAndCallBack() on the AaveBorrower
2. AaveBorrower calls IAavePool.flashLoan() on the Aave V3 pool
3. Aave transfers the requested tokens to the AaveBorrower
4. Aave invokes executeOperation() on the AaveBorrower
5. AaveBorrower calls router.borrowerCallBack() to continue execution
6. During settlement, the settlement contract calls approve() to authorize Aave pool repayment
7. After settlement, Aave pulls the borrowed amount plus premium via transferFrom()

​

Repayment Model

1. Settlement approves the Aave pool to spend the borrower’s tokens
2. Aave’s flash loan mechanism calls transferFrom() to reclaim the principal plus premium
3. If the approval is insufficient or the borrower lacks funds, the transaction reverts

​

Integration Notes

• Flash loan premiums on Aave are typically 0.05%-0.09% depending on the asset
• Premiums may vary by network and pool configuration
• Solvers must account for premiums when calculating settlement profitability
• The settlement must include an interaction to approve the Aave pool for repayment

​

Security

• flashLoanAndCallBack(): Only callable by the registered router
• approve(): Only callable by the settlement contract
• executeOperation(): Called by Aave within the flash loan flow
• Immutable router and settlement contract references prevent manipulation

​

Next Steps