Multicoin Capital Supports Strategic Proposal by Aave Labs

Multicoin Capital's investment team leader, Vishal Kankani, has expressed support for Aave Labs' proposal, according to Foresight News. As a significant holder of AAVE, Multicoin Capital views the proposal to redirect 10% of Aave's product revenue to the DAO as a strategic shift that could enhance Aave's token economic model. The company believes that if implemented correctly, this proposal could set a significant precedent for the entire DeFi sector. The proposal involves the allocation of approximately $25 million in stablecoins, 75,000 AAVE tokens valued at around $9 million, and additional milestone rewards. This represents an economic exposure of over $40 million to $50 million, accounting for 25% to 30% of the total funds. Given the scale and pioneering nature of this funding request, Multicoin Capital suggests that more detailed financial and underwriting data should be provided to support the request's magnitude.