Aave Proposal Moves Forward After Narrow Governance Vote

Aave has cleared the first major step in its governance process after its “Aave Will Win” framework passed the Temp Check vote. A severely split society was shown by the off-chain Snapshot poll, which ended with 52.58% in favour, 42% opposed, and 5.42% abstaining.

Prior to any legally binding on-chain vote, the proposal is now in the Aave Request for Final Comment (ARFC) stage, where terms may still be changed. If approved later, it could reshape how the protocol funds development and aligns revenue.

The framework asks token holders to approve up to $42.5 million in stablecoins and 75,000 AAVE tokens for Aave Labs. In return, Aave Labs would route 100% of revenue from Aave-branded products to the DAO treasury under a DAO-funded operating model.

Founder Stani Kulechov described the move as a step toward a “fully token-centric model”. However, critics have raised concerns about the size of the funding package and the voting power attached to the AAVE tokens included.

Competing transparency reports from Aave Labs and the Aave Chan Initiative added to the debate before the vote. Only ideas accepted via an on-chain Aave Improvement Proposal (AIP) are legally enforceable under Aave’s governance structure.

The protocol’s long-term financial structure and technical roadmap, including plans for Aave V4, could be redefined if the framework ultimately passes.

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