If the SEC stays softer, Aave’s DAO could start capturing $100M+ annualized revenue
Aave Labs posted a governance proposal on Feb. 12 asking tokenholders to endorse a strategic bundle that will direct 100% of Aave-branded product revenue to the DAO treasury, formalize model safety, and heart the roadmap on Aave V4.
The initiative was named the “Aave Will Win Framework.”
The proposal hasn’t been applied but, as an early governance temperature verify. Yet, the public framing is unambiguous: “We imagine there is not any higher time to align behind a token-centric imaginative and prescient and place Aave to win over the subsequent decade.”
That timing language is the actual story.
Aave is not simply restructuring its economics. Instead, it’s constructing as if the US enforcement overhang that outlined 2022 by 2024 is shrinking, and worth accrual to tokenholders is protected to pursue once more.
The proposal explicitly references “regulatory readability rising in sure markets,” and the numbers counsel that evaluation is not simply vibes.
SEC crypto enforcement fell 60% in 2025 in contrast with 2024, dropping from 33 actions to 13, per Cornerstone Research. That decline coincides with the first 12 months beneath SEC Chair Paul Atkins.
Additionally, the SEC’s 2026 examination priorities positioned much less emphasis on crypto than in prior years, and the company voluntarily dismissed its Binance lawsuit with prejudice, a transfer that explicitly hyperlinks to the President Donald Trump administration’s coverage stance.
The DOJ additionally signaled a softer posture, with a memo that scaled again sure crypto-platform enforcement and disbanded the nationwide crypto enforcement workforce.
Aave’s transfer reads like pricing in a multi-year window, when enforcement threat is decrease, and protocols can compete like companies once more with out instantly triggering securities-tripwire fears. This contains budgets, model safety, and product revenue funnels.
That’s greater than one proposal. It’s a regime-shift thesis taking part in out throughout DeFi.
Building like a enterprise, however on-chain
The Aave framework goes past tokenomics. It defines a complete working mannequin.
If accepted, the DAO would obtain product revenues from aave.com interface charges, the cell app, card merchandise, Aave Pro, Aave Kit, Aave Horizon, and even an AAVE exchange-traded product line merchandise.
Aave claims the swap integration on aave.com generates roughly $10 million in annualized revenue that will circulation to the DAO beneath the framework. It additionally states that Aave V3 generates over $100 million in annualized revenue.
Those numbers place the DAO as greater than a governance wrapper, because it’s being set as much as steward a model, allocate capital, and pursue regulated product ambitions.
The proposal bundles worth seize with model and IP safety, operational funding, and a quicker execution path than governance by committee would permit.
Aave says it has been self-funding product growth and authorized work, together with SEC protection, and now needs to align behind a token-centric mannequin.
The framing is express: construct the DAO to operate as an entity that may compete institutionally, not simply in a decentralized method.
That shift issues as a result of, when enforcement is intense, protocols keep away from something that seems to be revenue distribution.
When enforcement cools, the alternative value of governance-only tokens turns into more durable to defend, particularly with establishments looming as customers. Aave is betting the enforcement window has opened large sufficient to make worth accrual a characteristic, not a legal responsibility.
Value accrual is again
Aave is not alone. Uniswap is pursuing an analogous playbook.
The UNIfication proposal goals to activate protocol charges and burn UNI, amongst different ecosystem adjustments.
DefiLlama’s Uniswap V2 methodology exhibits that since Dec. 28, 2025, 17% of Ethereum charges have been allotted to UNI buybacks and burns. Tokenholder worth accrual is embedded immediately into the protocol’s stay design and operations.
Uniswap can be pursuing a broader fee-and-burn roadmap throughout variations over time.
Other protocols already present measurable worth accrual. DefiLlama tracks “holders revenue” throughout protocols akin to Pendle, illustrating that value-capture mechanisms are normalized throughout components of DeFi.
The knowledge infrastructure exists to measure charges, revenue, and tokenholder-directed flows, which makes the shift from “governance token with unclear worth” to “token with measurable seize” legible to establishments.
The sample is obvious: protocols that prevented charge switches or worth routing throughout the enforcement-heavy years are reopening these levers. The calculus modified as a result of the threat profile modified.
What the regime shift indicators
Back to constructing like a enterprise, however on-chain. Aave’s proposal does not learn like a DAO governance train. It reads like an organization outlining its revenue mannequin, model technique, and institutional roadmap.
The distinction is that the “firm” is on-chain, the funds flows to a treasury ruled by tokenholders, and the distribution mechanism runs by sensible contracts. However, the operational logic is acquainted: seize worth, allocate assets, defend IP, and compete for market share.
That type of readability was radioactive when the SEC was treating most tokens as unregistered securities. Now it is being pitched as a aggressive benefit.
Regime shift triggers value-accrual experiments. When the enforcement posture shifts, the alternative set for protocol design shifts as nicely.
The underlying know-how did not change. The regulatory atmosphere did, and that unlocks design house.
Protocols can now experiment with charge switches, treasury routing, buybacks, burns, and distribution mechanisms that had been too legally dangerous to implement when each token allocation was beneath scrutiny.
The subsequent combat is legitimacy alongside decentralization. Aave bundles model and IP safety right into a single bundle alongside token-centric alignment. That’s a guess that the DAO should function as a legible entity able to stewarding a model and a product suite, functioning as a coherent group with accountable possession over its ecosystem.
The proposal positions the DAO to work together with regulated markets, akin to exchange-traded merchandise, institutional custody, and compliance-wrapped interfaces. At the identical time, it maintains on-chain economics.
That rigidity between decentralization and institutional legibility is the new frontier.
| Protocol | Mechanism (treasury routing / buyback+burn / staker distribution) | Status (proposed vs lively) + date | Quant hook (what you possibly can cite) | Data supply |
|---|---|---|---|---|
| Aave | Treasury routing — “100% of Aave-branded product revenue → Aave DAO treasury” (incl. aave.com charges, App, Card, Pro, Kit, Horizon, AAVE ETP) | Proposed (governance TEMP CHECK) — Feb 12, 2026 | Swap integration on aave.com “~$10M annualized revenue”; “Aave V3 already generates over $100M in annualized revenue” | Aave governance temp verify. (Aave) |
| Uniswap V2 | Buyback+burn — DefiLlama methodology: protocol routes 17% of charges (Ethereum) to purchase again & burn UNI | Active — since Dec 28, 2025 (per DefiLlama methodology notice) | “From 28 Dec 2025, 17% (0% earlier than) charges on Ethereum shared to purchase again and burn UNI” | DefiLlama Uniswap V2 methodology part. (DeFi Llama) |
| Uniswap (UNIfication roadmap) | Roadmap to protocol charges + UNI burn (broader rollout intent throughout variations over time) | Proposed / governance roadmap — Nov 2025 (UNIfication submit) | Explicitly proposes: activate protocol charges → burn UNI, plus a retroactive burn of 100M UNI; rollout begins with v2 + a set of v3 swimming pools representing ~80–95% of LP charges on Ethereum mainnet | Uniswap “UNIfication” submit. (Uniswap Labs) |
| Pendle | Tokenholder-directed worth (DefiLlama “Holders Revenue” — i.e., worth routed to tokenholders by way of burn/distribution mechanisms) | Active (ongoing) | Holders Revenue 30d: $893,526; Holders Revenue (annualized): ~$10.9M | DefiLlama Pendle charges/revenue web page + “Holders Revenue” definition. (DeFi Llama) |
What could derail this
Aave’s framework stays a governance proposal awaiting implementation. Legislative optionality exists, however the coverage structure remains to be growing.
Yet, if enforcement resurges, protocols could pause worth accrual, route extra by foundations or offshore buildings, or restrict US publicity.
Technical and aggressive dangers additionally matter. If Aave’s product revenue projections do not materialize, or if rivals supply higher phrases by avoiding tokenholder routing, the framework’s attraction diminishes.
If the regulatory atmosphere shifts once more and the SEC or DOJ treats fee-routing buildings as securities violations, the complete value-accrual thesis collapses again into threat mitigation mode.
Three ahead situations
One potential situation transferring ahead is a “sturdy thaw.”
If the present posture persists, count on extra DAOs to flip charge switches, formalize budgets, and pursue US-compliant product wrappers. Key indicators to look at are the decline or flatlining of SEC crypto actions, incremental rulemaking, and extra protocols copying the “protocol utilization → token burn or treasury” mannequin.
Another situation is readability with out consolation. Laws transfer, however enforcement stays selective. Protocols engineer token-centric fashions to keep away from “dividend optics,” extra treasury routing, buybacks, and burns versus direct payouts.
Topics to look at are progress or stalls on payments like CLARITY and company steering particulars.
Lastly, a whipsaw can be a probable situation. Political or authorized backlash, or high-profile protocol failures, set off a resurgence in enforcement.
Protocols pause worth accrual, route extra by foundations or offshore, or restrict US publicity.
Even a friendlier SEC nonetheless says “fraud is fraud,” and a serious scandal could reset the tolerance for tokenholder-directed revenue.
What’s at stake
Aave’s proposal does not simply ask tokenholders to endorse a funds. It asks them to endorse a thesis on what the subsequent decade will appear to be: protocols competing as companies, worth accruing to tokens, and DAOs functioning as establishments.
That thesis will depend on the US regulatory atmosphere remaining extra favorable than it was in 2022 by 2024.
The enforcement knowledge, examination priorities, and dismissed circumstances counsel that the guess is rational presently. Whether it holds for a decade is the open query.
Protocols are repricing themselves in anticipation of a window they imagine is open. How lengthy it stays open, and whether or not different jurisdictions comply with or diverge, will decide whether or not this wave of value-accrual experiments turns into the new regular or one other chapter in DeFi’s regulatory whiplash.
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