The Aave decentralized autonomous organization (DAO) has passed a landmark proposal, approving a $25 million stablecoin grant and a 75,000 AAVE token allocation for Aave Labs. This funding is the first binding step of founder Stani Kulechov's "Aave Will Win" strategic framework, designed to accelerate product launches and secure long-term growth for the protocol.
The governance vote concluded with approximately 75% approval (522,780 votes for vs. 175,310 against), a significant increase from a narrow 52.58% approval in a preliminary temperature check in March. The funding will be distributed via a structured mechanism: an immediate 5 million aEthLidoGHO allocation, followed by a 5 million stream over six months, and another 15 million streamed over 12 months from the Collector Contract. The 75,000 AAVE tokens will vest over 48 months from the Ecosystem Reserve.
"Aave Will Win, the most important proposal in Aave's history just passed with a landslide," stated CEO Stani Kulechov on social media, framing the vote as a defining moment. The strategy pivots Aave to become fully token-centric, with the AAVE token representing ownership of the protocol's economic rights, brand, users, and integrations.
Concurrently, the DAO has officially recognized Aave V4 as the protocol's long-term technical foundation, following its recent launch on the Ethereum mainnet. The approved framework also transitions Aave Labs to a DAO-funded operating model, where revenue from specific products like Aave Pro will flow directly to the DAO treasury instead of being retained by the core team.
The vote was not without dissent. The Aave Chan Initiative, led by Marc Zeller, opposed the proposal. Furthermore, the approval comes amid internal shifts, with BGD Labs ending its four-year role in the DAO and Chaos Labs announcing its exit, citing budget constraints tied to expanding protocol demands.
Future governance proposals will focus on individual product launches—such as the Aave App, Aave Pro, Aave Card, and Aave Kit—with funding tied to milestone-based rewards and clear performance targets.