The Aave community has voted in favor of the 'Aave Will Win' proposal, a framework that redirects all 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 protocol revenue control, which began when swap fees were redirected away from the DAO treasury.
The Aave DAO, a community-run decision-making body, has decisively answered the question of who controls the protocol's most valuable asset: its user-facing products and the revenue they generate. The proposal supplements protocol revenue with application-layer revenue from Aave Pro, Aave App, Horizon, and Aave Kit, and takes a hard line against 'value leakage.' Service providers must build exclusively for Aave, with measurable goals and governance process improvements planned.
Aave V4's reinvestment feature and new 'Spokes' expand collateral options and address DeFi liquidity demand. 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.