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Holders of the Aave token have recently voted against a controversial governance motion to manage the protocol’s brand assets under DAO ownership. On Friday, theHolders of the Aave token have recently voted against a controversial governance motion to manage the protocol’s brand assets under DAO ownership. On Friday, the

Aave Governance Vote Overwhelmingly Rejected After Community Pushback

2025/12/27 11:27

Holders of the Aave token have recently voted against a controversial governance motion to manage the protocol’s brand assets under DAO ownership. On Friday, the snapshot poll ended with 55.29% voting “NAY” and 41.21% refraining. Only 3.5% of voters supported the motion.

At press time, the coin is trading at $155.22 with a 1.47% increase rate. The market capitalization of the token has exceeded $2.37 billion, and the daily trading volume of the coin is approximately $334.4 million.

Source: CoinMarketCap

Also Read: Crypto Governance Clash: Aave Founder Faces Scrutiny Over $10 million AAVE Token Purchase

Key Reasons Behind Aave’s Community Pushback

Community feedback has a major role which resulted in the final result. At the time of the motion’s review phase, contributors initiated queries all through the token’s governance platforms and social networks. Although the specific concern differed, the constant subject of the coin’s potential protocol balance, slip-up in long-term usage, and variability in implementation details was continuous.

Some contributors interrogated on whether the motion changes the sufficiently guarded liquidity givers and borrowers. On the other hand, others questioned that the motion lacked needed testing and clarity. All these influenced the voting behaviour significantly.

The token’s governance structure increases the chances of such open debates leading to helping contributors challenge before the existing structure becomes irreversible. The refusal indicates that the community can definitely influence the structure of a token.

What Comes Next for the Protocol

According to the data provided by CoinCodex, the coin might have an average and maximum price of $160.49 and $180.51, respectively, in the month of December. The potential ROI of the coin can be 16.89% by the end of this year.

Source: CoinMarketCap

After the rejection, the motion will not be executed in the present form. Contributors can decide to revise and revisit the proposal influenced by community feedback. Then they can later submit a better version for consideration in the future. Currently, Aave is set to operate in the existing structure. The governance participants will not be passive during this period.

There will be further discussions on the coin’s protocol upgrades, risk management, and ecosystem growth.

Also Read: AAVE Price Analysis: Whale Activity Could Push the AAVE Toward $200?

Market Opportunity

AaveToken Price(AAVE)

$155,78

$155,78$155,78

-0,53%

USD

AaveToken (AAVE) Live Price Chart

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