The Aave community has voted in favor of the 'Aave Will Win' proposal, which redirects all revenue from Aave-branded products back to the DAO, effectively giving token holders control over the protocol's revenue. This move resolves a months-long dispute that started when swap fees were redirected away from the DAO treasury. The proposal also includes a $25 million stablecoin grant and 5,000 AAVE token allocation to Aave Labs.
Aave's governance system, known as the Aave DAO, allows token holders to vote on key decisions, including upgrades, fees, and treasury use. The 'Aave Will Win' proposal aims to make Aave fully token-centric, with a single asset and model.
The vote has put an end to the controversy that erupted in December when delegates discovered that swap-related fees had been quietly shifted away from the community treasury. The proposal's passage marks a significant shift in the protocol's revenue structure, with all revenue now being supplemented by application-layer revenue from Aave Pro, Aave App, Horizon, and Aave Kit. The Aave team plans to invest in new technologies, including agentic AI infrastructure, and expand collateral options to address the demand side of DeFi liquidity. With roughly $25 billion in total value locked across multiple chains, Aave is the largest lending protocol in DeFi, generating $140 million in annual revenue.
The proposal's passage is expected to propel Aave towards its goal of becoming a financial network that can be integrated with any fintech, bank, or asset manager.