The Aave community has voted in favor of the 'Aave Will Win' proposal, a landmark decision that marks the end of a months-long governance dispute. The proposal, deemed the most significant in Aave's history, redirects 100% of revenue from Aave-branded products back to the DAO, effectively consolidating economic rights under the AAVE token. This shift in control 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 Aave DAO, a community-run decision-making body, will oversee the protocol's upgrades, fees, and treasury use.
The proposal resolves a controversy that began in December when it was discovered that swap fees had been redirected away from the community treasury. The 'Aave Will Win' proposal decisively favors token holders, ensuring that protocol revenue, which reached $140 million in 2025, will be supplemented by application-layer revenue from Aave Pro, Aave App, Horizon, and Aave Kit. The proposal also takes a hard line against 'value leakage,' requiring service providers to build exclusively for Aave and adhere to measurable goals.
With Aave holding roughly $25 billion in total value locked, the protocol is poised for significant growth, with a target of scaling to $1 trillion and positioning itself as a financial network for fintech, banks, and asset managers.