Aave Labs Proposes $50 Million Grant to Allocate Revenue from Multiple Products to DAO

Odaily News Aave Labs has initiated a Temp Check proposal to token holders, requesting approximately $50 million in funding in exchange for allocating all revenue from Aave-branded products to the Aave DAO treasury. The proposal includes up to $42.5 million in stablecoins ($25 million base grant and $17.5 million in milestone rewards) and 75,000 AAVE tokens (worth approximately $8 million). In return, Aave Labs will allocate 100% of the revenue from all products, including aave.com, the planned Aave Card, and Aave Pro, to the DAO.

The proposal has raised community concerns about the concentration of voting power. Marc Zeller, founder of the Aave Chan Initiative, pointed out that this funding package represents a significant portion of the DAO treasury and questioned whether the 75,000 AAVE token grant could lead to excessive concentration of voting power. He called for splitting the proposal and requiring the recipient to disclose their wallet addresses. Aave founder Stani Kulechov stated that this move would shift the DAO towards a "token-centric" model, enhancing its ability to fund growth and execute buybacks. The proposal is currently in the community feedback stage. (Cointelegraph)