Amid a split governance base, Aave’s ambitious ‘Aave Will Win’ framework has narrowly cleared its Temp Check vote, advancing to the next phase of the protocol’s governance process.
A Narrow Victory
On Sunday, the off-chain Snapshot vote concluded with 52.58% in favor, 42% against, and 5.42% abstaining. This margin, though slim, is enough to move the proposal to the Aave Request for Final Comment (ARFC) stage, where terms may be revised before any binding on-chain vote is held.
The Proposal in Detail
The framework, which seeks to allocate up to $42.5 million in stablecoins and 75,000 Aave (AAVE) tokens to Aave Labs, aims to realign revenue streams and development funding. In return, Aave Labs would route 100% of revenue from Aave-branded products directly to the Aave DAO treasury, transitioning to a DAO-funded operating model.
Divided Opinions
The close vote underscores the community’s divided stance on the proposal. Critics have raised concerns about the size of the funding package and the inclusion of 75,000 AAVE tokens, which carry significant voting power. Others have called for more transparent governance and clearer definitions of how funds will be used.
Community Feedback and Revisions
Founder Stani Kulechov acknowledged the Temp Check’s success, noting that it brings the protocol closer to a ‘fully token-centric model.’ However, he also emphasized that the ARFC stage will incorporate structural improvements based on community feedback. This stage is crucial as it allows for revisions and ensures that the community’s concerns are addressed before the proposal moves to a formal Aave Improvement Proposal (AIP) vote.
Historical Context
Leading up to the vote, competing reports from Aave Chan Initiative (ACI) founder Marc Zeller and Aave Labs provided contrasting views on the protocol’s historical funding and value creation. The ACI’s transparency report reviewed Aave Labs’ funding history, while Aave Labs highlighted its contributions to building the protocol since 2017.
Next Steps
If the proposal advances beyond the ARFC stage, tokenholders will vote on formalizing the DAO-funded model and ratifying Aave V4 as the long-term technical foundation. This decision could significantly reshape how the Aave ecosystem structures development, revenue, and brand stewardship, potentially setting a new standard in the DeFi space.
Looking Forward
The narrow margin of support reflects ongoing tensions within the Aave governance community. As the proposal moves forward, it will be crucial to balance the interests of all stakeholders and ensure that the protocol’s long-term goals are aligned with community values. The outcome of this process will have far-reaching implications for Aave and the broader DeFi ecosystem.
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