Stani (@StaniKulechov)

Lots of discussions around Aave so I want to clarify a few things: • First off, there is NO WAY we’d sell AAVE at a 70% discount lol. • 100% of Aave Protocol and GHO revenue goes to the $AAVE token. This was established in the Aave Will Win proposal. • AWW also applies to all product revenue, including the Aave App, Aave Pro, and Swaps. • No protocol or product revenue goes to Aave Labs, which is a service provider to the DAO responsible for building and growing Aave. • Aave Labs owns an allocation of AAVE that multiple market participants have discussed purchasing, directly or indirectly, through deeper long-term partnerships. The article’s framing is inaccurate. • Aave is currently generating $134M in annualized revenue, which goes to the Aave DAO. • As defined in AWW, all intellectual property, including the Aave brand and any software built for Aave, belongs to $AAVE. • We haven’t shared much on this yet, but the Aave team is designing Aavenomics 3.0, which includes a new automated and non-discretionary buyback mechanism. More on this later. • Aave is building not only for the crypto TAM, but for the entire finance asset TAM, including RWAs. • Everyone at Aave Labs and Aave DAO works for $AAVE. We’ll be hosting our quarterly call in the next couple of weeks. Join us if you want to catch up on what we’ve been working on and get some cool updates on the Aave roadmap.

The next step in the rsETH technical recovery plan has been completed with the restoration of WETH LTVs to their pre-incident levels across all affected networks. Users can now once again borrow against WETH on Aave, including through collateral and debt swaps.

The latest market structure bill markup just dropped, and I want to highlight how important it is for DeFi. The Clarity Act is fundamental to giving DeFi developers the confidence to build in the US, backed by strong developer protections. If the US wants to lead in DeFi, the framework must preserve the ability to build and maintain decentralized protocols without imposing unworkable obligations on DeFi developers that are better suited for centralized models. If US succeeds, rest of the world will follow. The question of yield has always been largely irrelevant, in my humble opinion. Passage of the Clarity Act could create a similar tailwind for DeFi as the Genius Act did for stablecoins. That’s far more important than anything else: giving developers the clarity and confidence to build the future financial rails the world will rely on. I appreciate all the work the Senate Banking Committee members have done throughout this long process, and I encourage members to vote in favor of a bipartisan framework that developers can rely on. DeFi will win.

Update on the rsETH recovery. Judge enabled the Arbitrum recovered funds to be moved to Aave LLC address. Next steps of the recovery starts by backing the rsETH bridge. ETH LTV moving back to normal. Aave never stops fighting for the users and for DeFi. DeFi United.

Aave is my life's work and we're working nonstop to find the best possible outcome for users. I’m personally contributing 5000 ETH to DeFi United as we continue working together with partners on formalizing more commitments. I’m working to see this resolved and market conditions normalized as soon as possible. DeFi United.

Earlier today, a user attempted to buy AAVE using $50M USDT through the Aave interface. Given the unusually large size of the single order, the Aave interface, like most trading interfaces, warned the user about extraordinary slippage and required confirmation via a checkbox. The user confirmed the warning on their mobile device and proceeded with the swap, accepting the high slippage, which ultimately resulted in receiving only 324 AAVE in return. The transaction could not be moved forward without the user explicitly accepting the risk through the confirmation checkbox. The CoW Swap routers functioned as intended, and the integration followed standard industry practices. However, while the user was able to proceed with the swap, the final outcome was clearly far from optimal. Events like this do occur in DeFi, but the scale of this transaction was significantly larger than what is typically seen in the space. We sympathize with the user and will try to make a contact with the user and we will return $600K in fees collected from the transaction. The key takeaway is that while DeFi should remain open and permissionless, allowing users to perform transactions freely, there are additional guardrails the industry can build to better protect users. Our team will be investigating ways to improve these safeguards going forward.