Aave's Governance Framework Advances Amid Divided Vote

Aave's governance framework, known as 'Aave Will Win,' has successfully passed its Temp Check vote, marking the initial stage of the protocol's governance process. According to Cointelegraph, the off-chain Snapshot vote concluded on Sunday with 52.58% in favor, 42% against, and 5.42% abstaining. This result propels the measure to the Aave Request for Final Comment (ARFC) stage, where terms may be revised before any binding on-chain vote occurs. The framework seeks approval from tokenholders for up to $42.5 million in stablecoins and 75,000 Aave (AAVE) tokens for Aave Labs. In exchange, the organization would direct all revenue from Aave-branded products to the Aave DAO treasury under a DAO-funded operating model. The narrow margin of the vote underscores a divided governance base as the protocol considers structural changes to its funding, revenue alignment, and long-term development. The ARFC stage will assess whether concerns raised during the debate will lead to revisions before a formal Aave Improvement Proposal is submitted on-chain. Aave founder Stani Kulechov expressed on X that the Temp Check brings the protocol closer to a 'fully token-centric model,' noting that structural improvements will be integrated at the ARFC stage based on community feedback. Critics have previously questioned the size of the funding package and the inclusion of 75,000 AAVE tokens, which carry voting power. Others have called for clearer definitions and stronger disclosure standards regarding governance holdings. On February 25, competing reports from Aave Chan Initiative (ACI) founder Marc Zeller and Aave Labs presented differing interpretations of past funding and value creation ahead of the vote. The ACI published a transparency report reviewing Aave Labs' historical funding, while Aave Labs outlined its role in building the protocol since 2017. Under Aave's governance framework, proposals typically progress from Temp Check to ARFC before advancing to an on-chain Aave Improvement Proposal (AIP) vote. Only AIPs executed on-chain are binding. If the proposal moves beyond ARFC, tokenholders will vote on whether to formalize the DAO-funded model and ratify Aave V4 as the long-term technical foundation. The outcome could significantly reshape how the Aave ecosystem structures development, revenue, and brand stewardship.