Aave DAO has proposed changes in tokenomics and distribution of protocol earnings, building upon discussions initiated in 2024.
Tokenomics Changes and Revenue Distribution
Aave is rolling out a proposal for revenue distribution and tokenomics adjustments. The new proposal involves profit distribution to GHO and AAVE token holders through a mix of burns or lockups. The program is expected to distribute up to $1 million weekly for the first six months, with a potential buyback budget increase under favorable conditions.
Aave's Success and Achievements in 2025
The Aave community has become a leader among DeFi protocols, providing passive income to other projects, especially Sky Protocol. Aave’s market share has been growing every quarter for the past two years. The GHO stablecoin has successfully expanded its supply to more than 208.3 million tokens, even in times of market volatility. Over the past month, Aave managed $8.8 million in revenue from $11.3 billion in active loans.
Protection Programs and New Developments
The next major update for Aave will be the launch of the Umbrella program, which will provide protection for strategic tokens and be partially available on selected networks. In 2025, Aave will also complete the migration contract from the former Lend brand, releasing another 320 million AAVE into circulation.
The changes in Aave DAO are aimed at enhancing tokenomics and distributing revenues, which may significantly impact the market and strengthen the platform's position in the DeFi ecosystem.
