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 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 swap fees were redirected away from the community treasury, and it decisively favors token holders. The Aave protocol, which has accumulated $140 million in revenue, will now generate additional revenue from application-layer products, including 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. On the technical side, Aave V4's reinvestment feature will generate additional revenue, and new 'Spokes' will expand collateral options.
With roughly $25 billion in total value locked, Aave aims to scale from $40 billion to $1 trillion, positioning itself as a financial network for fintech, banks, and asset managers.