Aave labs proposes ‘Aave Will Win’ plan to send 100% of product revenue to DAO

Aave labs proposes ‘Aave Will Win’ plan to send 100% of product revenue to DAO

Source: CoinDesk

Published:19:12 UTC

BTC Price:$65327

#AAVE #DeFi #DAO

Analysis

Price Impact

High

The 'aave will win' plan proposes sending 100% of product revenue to the dao and formalizes aave labs' role as a long-term contributor. this fundamental shift significantly strengthens the token's value proposition by directly aligning product development with token holder incentives, enhancing the treasury's growth, and positioning aave for future expansion with the v4 upgrade.

Trustworthiness

High

The information comes directly from aave labs' governance proposal, reported by coindesk, a reputable crypto news source, with direct quotes from aave labs' founder. the immediate market reaction (aave up 2% during a broader market sell-off) further validates the news's impact.

Price Direction

Bullish

The direct allocation of 100% of product revenue to the dao fundamentally increases the value accrued to aave token holders. furthermore, the v4 upgrade aims to facilitate easier market launches and diversify income streams, positioning aave for significant growth and increased utility in the evolving defi and institutional finance landscape. the token's positive performance amidst a market downturn indicates strong investor confidence.

Time Effect

Long

While there's an immediate positive price reaction, the full benefits of the 'aave will win' plan, including the implementation of the v4 upgrade, diversification of revenue streams, and the establishment of a dedicated foundation for brand protection, will unfold and mature over an extended period, shaping aave's trajectory for years to come.

Original Article:

Article Content:

Finance Share Share this article Copy link X icon X (Twitter) LinkedIn Facebook Email Aave labs proposes ‘Aave Will Win’ plan to send 100% of product revenue to DAO The proposal arrives amid discord within the Aave community over control of the protocol’s brand and key assets. By Margaux Nijkerk , AI Boost | Edited by Stephen Alpher Feb 12, 2026, 7:12 p.m. Make us preferred on Google What to know : Aave Labs has introduced a new governance proposal that would shape the next chapter of one of crypto’s largest lending platforms, and send all revenue from Aave-branded products back to its community treasury. The proposal, called “Aave Will Win,” asks the Aave DAO to approve a broader strategy built around its upcoming V4 upgrade. Aave Labs has introduced a new governance proposal that would shape the next chapter of one of crypto’s largest lending platforms, and send all revenue from Aave-branded products back to its community treasury. The proposal, called “Aave Will Win,” asks the Aave DAO to approve a broader strategy built around its upcoming V4 upgrade. If passed, the plan would make V4 the foundation for Aave’s future development and formalize a structure in which 100% of revenue from products built by Aave Labs flows directly to the DAO. STORY CONTINUES BELOW Don't miss another story. Subscribe to the Crypto Daybook Americas Newsletter today . See all newsletters Sign me up By signing up, you will receive emails about CoinDesk products and you agree to our terms & conditions and privacy policy . The AAVE token has gained about 2% on the news even as the broader crypto market is selling off heavily on Thursday. In simple terms, that means any money generated from Aave-branded apps, institutional offerings or enterprise tools would go back to the community-controlled treasury rather than to the development company itself. “The framework formalizes Aave Labs’ role as a long-term contributor to the Aave DAO under a token-centric model, with 100% of product revenue directed to the DAO,” said Stani Kulechov, Founder of Aave Labs, in a press release shared with CoinDesk. “As onchain finance enters a decisive new phase, with fintechs and institutions entering DeFi, this framework positions Aave to capture major growth markets and win over the next decade." The proposal arrives against a backdrop of discord within the Aave community over control of the protocol’s brand and key assets. In late 2025, community members became sharply divided over whether the DAO or Aave Labs should control trademarks, domains, social accounts and other branded assets, with critics arguing that concentrated control by Labs risked undermining the spirit of decentralization. That fight highlighted wider tensions over how much influence founding teams should retain once a protocol becomes decentralized Aave is already one of the largest decentralized lending protocols in crypto, allowing users to borrow and lend digital assets without relying on traditional banks. The new proposal is designed to help the protocol compete as more fintech companies and financial institutions explore blockchain-based products. At the center of the plan is Aave V4, a major software upgrade intended to make it easier to launch new markets and financial products on top of the protocol. Rather than requiring major changes to the core system each time something new is introduced, V4 is designed to make expansion faster and more flexible while maintaining security. The proposal also introduces the idea of launching separate markets with different risk and revenue structures. This could allow Aave to support specialized use cases, including institutional participation, without affecting the broader protocol. A key part of the framework is a shift in how revenue flows to the DAO. Currently, Aave primarily earns income from lending activity. Under the proposal, revenue from additional Aave Labs-built products, such as user interfaces and institutional services built around the protocol, would also be directed to the DAO treasury. The goal is to diversify income and more closely align product development with token holder incentives. The proposal further calls for the creation of a dedicated foundation to hold and protect Aave’s brand and trademarks, since decentralized organizations cannot directly own intellectual property. More details on that structure would be introduced in a follow-up vote. If approved, additional proposals will outline how V4 will be activated and how funding will be structured. Taken together, the framework signals Aave’s ambition to evolve from a leading DeFi lending protocol into a broader piece of global financial infrastructure governed by its DAO. Read more: ‘Most important tokenholder rights debate’: Aave faces identity crisis Aave AI Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards . For more information, see CoinDesk's full AI Policy . Mehr für Sie Accelerating Convergence Between Traditional and On-Chain Finance in 2026? Von CoinDesk 30. 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