Aave’s Decision-Making Process Questioned After Vote Backlash

Aave, a pillar of DeFi, falters under the weight of a controversial decision. Far from the technical debates on yield or innovations in smart contracts, it is governance that crystallizes tensions. A rushed vote on the transfer of the protocol’s brand assets to the DAO has been launched without consensus, provoking a strong reaction within the community. Between accusations of forcing the issue and criticism of the transparency of the process, the crisis exposes the fragilities of a model often cited as an example.

A unilateral decision derails the process

While Aave prepares its growth for 2026 after the closure of the SEC investigation, a particularly sensitive vote has been launched on the Snapshot platform. It is about transferring control of Aave’s brand assets (domain names, social networks, naming rights, and other intellectual identity elements) to a legal vehicle controlled by the DAO (Decentralized Autonomous Organization).

The protocol founder, Stani Kulechov, justified this initiative in a post, stating that “the community is very interested in a way forward and is ready to make a decision“. He therefore announced that the proposal was moving to the voting phase.

However, this announcement immediately triggered strong criticism, notably from the former CTO of Aave Labs, Ernesto Boado, whose name appears as the proposal’s author. On X, Boado condemned an escalation without his approval : “this is not, in spirit, my proposal“, he said, stating that he would “never have approved its submission to vote while community discussion was still ongoing“.

Here are the key elements that make up this controversy :

• The subject of the vote : transferring Aave’s brand assets under the direct control of the DAO via a dedicated legal entity ;

• The alleged author of the proposal, Ernesto Boado, disowns the vote, stating that he did not give his consent to escalating the proposal to the Snapshot stage ;

• Stani Kulechov justifies the decision by invoking the community’s fatigue with prolonged discussions, considering that a vote is the clearest way to resolve the debate ;

• Some community members denounce a breach of consensus, with a feeling of instrumentalization of the process to the detriment of transparency;

• The initial debate was still active, and several participants demanded clarifications or opposed a vote deemed premature.

This divergence between stated intentions and the methods used creates discomfort around the effective governance of the protocol. It is not only the technical modalities of the vote that are being questioned, but the nature of the power exercised within a DAO that claims to be decentralized.

Balance of power and economic tensions

Beyond the contested origin of the proposal, it is the way it was pushed toward a vote that fueled the criticisms.

Marc Zeller, a central figure in the Aave ecosystem through the Aave Chan Initiative (ACI), denounced “a unilateral escalation” in a statement, pointing out that many questions raised by delegates and token holders remained unanswered.

Zeller regrets that this decision was made “during a period when major stakeholders, investors and institutions are less active“, mentioning a historically unfavorable window for this type of vote. He believes this timing choice had the effect of restricting the mobilization of less informed participants, thus limiting the diversity of expressed opinions.

Facing these accusations, Kulechov defended the decision by insisting on the length of the preliminary debate. According to him, “people are tired of this discussion and going to a vote is the best way to decide“.

He also assures that all formal requirements were met. However, this defense line, while technically founded, does not defuse the substantive criticisms. Such a case thus reveals a growing imbalance in the control of the governance process. Those who master the triggering of votes, the timing, and the dissemination of information hold a major strategic power, sometimes to the detriment of democratic plurality.

Despite the governance crisis shaking its community, Aave continues to move forward. The protocol has launched a public savings application, offering up to 9% APY, in an effort to strengthen its attractiveness and credibility. It remains to be seen whether this initiative will ease internal tensions while consolidating its position in DeFi.