The Aave community has voted in favor of the 'Aave Will Win' proposal, a framework that redirects 100% of revenue from Aave-branded products back to the DAO, consolidating economic rights under the AAVE token. This shift means the DAO is now responsible for funding Aave Labs' activities, with a $25 million stablecoin grant and 5,000 AAVE token allocation approved. The proposal resolves a dispute over whether Aave Labs or the DAO controlled the protocol's most valuable asset: its user-facing products and revenue. The 'Aave Will Win' proposal decisively favors token holders, with protocol revenue supplemented by application-layer revenue from Aave Pro, Aave App, Horizon, and Aave Kit.
The application layer aims to target mainstream users with a 'fintech-like experience', generating fees for the treasury. The proposal takes a hard line against 'value leakage', with service providers required to build exclusively for Aave. Technical developments include Aave V4's reinvestment feature and new 'Spokes' to expand collateral options. Aave holds roughly $25 billion in total value locked, with a target to scale to $1 trillion.