Aave’s price rises amid plans to share revenue with token holders

Aave is preparing for a major governance vote, where the platform will consider sharing a portion of its off-protocol revenue with AAVE token holders and submit a formal proposal to the community.

The update published on January 2, 2025 immediately affected market sentiment. AAVE jumped more than 10% on the day, as traders reacted to signs of better alignment between the development team and the DAO.

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What will Aave’s new proposal cover?

Second For the founder Aave Labs, the next proposal will explain how Income generated outside the core loan protocol with AAVE holders.

These revenues typically come from the official app, front-end switch integrations and future consumer or enterprise products built on top of Aave.

This will also include protective measures to protect yourself Aave DAO and prevent sudden changes That can harm the token holders.

Another major focus will be Control Aave brand and user portals. This includes websites, domains and social media accounts that act as the public face of Aave.

The proposal is expected to clarify who is the owner of these assets, how they can be used, and what are the limits of monetizing without DAO approval.

The proposal will also be formed The long-term trend of Avi. Aave Labs argues that the protocol should move away from limited cryptocurrency lending and move toward real-world assets, consumer products, and institutional use cases.

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These efforts will depend on future updates, e.g Has V4 And expand the use GHO, Aave currency.

Why is this important for DAO?

This step comes later Weeks of public discord Within the Aave system.

Recently, some delegates accused Aife Labs of having too much control over revenue sources and communication channels. They warn that uncertainty around governance and ownership has contributed to a significant decline in AAVE’s market value in recent weeks.

In response, DAO representatives welcomed the change in tone, but stressed… Clear and enforceable commitments necessary They said vague promises are not enough and require precise rules including ownership, revenue sharing and liability.

The upcoming DAO Assembly vote will determine whether this new framework goes forward.

If approved, it could reduce internal tensions and reset how Aave balances growth with governance. Otherwise, the debate about control and bias is likely to continue.