Aave has increased the GHO stablecoin's core borrowing rate from 4.25% to 4.5% to address the depletion of its USDC GHO Stability Module (GSM) reserves. This adjustment aims to align the borrowing cost with the savings rate, eliminating the previous 25-basis-point gap where borrowers could earn more from sGHO savings than they paid in GHO borrowing, and incentivize stablecoin inflows into the modules for repayment.