Aave Labs dropped one of the most aggressive governance moves DeFi has seen this year. The new Aave DAO revenue proposal wants to redirect every dollar earned from Aave products straight into the community treasury. No cuts. No exceptions. Here’s what’s actually happening.
What Is the “Aave Will Win” Framework?
On March 27, 2026, Aave Labs published a formal ARFC on the Aave governance forum. The proposal is called the “Aave Will Win Framework.” It asks the Aave DAO to ratify a model where 100% of revenue from all Aave-branded products flows directly into the DAO treasury.
That covers Aave.com, Aave App, Aave Pro, Aave Card, Aave Kit, and Aave Horizon. Every single one.
This is not a minor tweak. Aave Labs currently keeps a portion of product fees to self-fund operations. Under the new model, that stops entirely.
Also Read: Is AAVE Back? A Critical Moment for DeFi
Why This Aave DAO Revenue Proposal Is a Big Deal
Aave already holds roughly 60% market share in decentralized lending. The protocol has processed over $1 trillion in cumulative loan volume, according to governance discussions on Aave’s forum. It currently generates over $100 million in annual revenue for the DAO.
Yet for years, Aave Labs kept swap fees and product revenue separate from the DAO treasury. That caused friction. Community members and delegates questioned whether private entities were capturing value that should belong to token holders.
This proposal is a direct response to that tension.
Stani Kulechov, Aave’s founder, confirmed the direction back in March 2026 when the Temp Check passed: routing all revenue to AAVE token holders is the goal.
What Aave Labs Gets in Return
The model is a trade-off. Aave Labs gives up self-funding. In return, it asks the DAO to fund its operations directly.
The ARFC requests $25 million in stablecoins and 75,000 AAVE tokens. The stablecoins cover one year of operations. The AAVE tokens vest over four years to keep the team aligned long-term.
Around $17.5 million of the stablecoin budget goes toward product growth incentives. These are structured around milestones, not upfront payouts. Aave Labs has to deliver before receiving full disbursement.
The DAO also stands to gain roughly $10 million annually just from swap fees that Aave Labs previously kept.
Also Read: Can DeFi Go Mainstream? AAVE Founder Eyes $50T Tokenization Market
Quarterly Reports and On-Chain Accountability
The proposal builds in a reporting structure. Aave Labs commits to quarterly updates showing exactly how funds are spent. Each product has its own performance targets. Aave App tracks user sign-ups and total assets. Aave Pro focuses on trading volume and institutional adoption.
This kind of accountability is rare in DeFi. Most protocols operate on trust and goodwill. This proposal tries to formalize the relationship between builders and the community with real metrics.
But Not Everyone Is Convinced
The Temp Check vote in early March passed with 52.58% in favor and 42% against, per The Defiant’s coverage. That’s a pass, but a narrow one.
Marc Zeller from the Aave Chan Initiative raised concerns publicly about the 75,000 AAVE token allocation, giving Aave Labs additional governance weight. Some community members worry the funding structure creates dependency rather than decentralization.
Those concerns will shape the ARFC discussion. If the community refines the proposal well, it heads to a binding on-chain AIP vote.
What Happens Next?
The proposal is now in the ARFC stage. Community feedback can still alter the structure. After that, a Snapshot vote and then an on-chain AIP vote will decide the outcome.
If it passes, Aave becomes one of the most community-owned revenue systems in all of crypto. Every product, every fee, every dollar flows back to token holders. That’s a powerful statement for DeFi governance.
Also Read: Bullish for AAVE. Crosses $1 Trillion lending volume
What is the Aave DAO revenue proposal?
It’s a governance proposal by Aave Labs to redirect 100% of all product revenue to the Aave DAO treasury instead of keeping it internally.
How much funding is Aave Labs requesting?
Aave Labs is requesting $25 million in stablecoins and 75,000 AAVE tokens to cover one year of operations and product growth.
Has the proposal been approved?
Not yet. It passed an initial Temp Check vote and is now in the ARFC (community comment) stage before a final on-chain vote.
What products are included in the revenue share?
Aave.com, Aave App, Aave Pro, Aave Card, Aave Kit, and Aave Horizon are all included under the proposal.
Get the news in a Jist. Follow Cryptojist on X and Telegram for real-time updates!
Disclaimer:
Look, we’re just journalists reporting the news here, not your financial advisors. Everything you read above is for information purposes only. Crypto is wild, unpredictable, and can absolutely wreck your savings if you’re not careful. Never invest money you can’t afford to lose. Seriously, we mean it. Do your own research, talk to actual licensed financial professionals, and remember that past performance means absolutely nothing when it comes to future results. The crypto market can turn on a dime, and what’s hot today might be toast tomorrow. We’re not responsible for your investment decisions, good or bad. Trade smart, stay safe, and don’t bet the farm on anything you read on the internet, including this article.
Bitcoin 
Tether 
BNB 