The Aave community has voted in favor of the 'Aave Will Win' proposal, a landmark decision that redirects 100% of revenue from all Aave-branded products back to the DAO and consolidates economic rights under the AAVE token. This shift means the DAO will now be responsible for funding Aave Labs' activities, with a $25 million stablecoin grant and 5,000 AAVE token allocation approved. The proposal resolves a dispute that began when delegates flagged the quiet redirection of swap-related fees away from the community treasury. The decision decisively favors token holders, with protocol revenue now supplemented by application-layer revenue from Aave Pro, Aave App, Horizon, and Aave Kit.
The proposal aims to prevent 'value leakage' by requiring service providers to build exclusively for Aave, with measurable goals and governance process improvements planned. Aave V4's reinvestment feature and new 'Spokes' will also create additional revenue streams and expand collateral options.
With roughly $25 billion in total value locked, Aave is positioned to scale from $40 billion to $1 trillion, becoming a financial network that any fintech, bank, or asset manager can plug into.