Aave Labs subsidiaries receive FCA approvals for UK expansion

Aave Labs subsidiaries Push Labs Limited and Push Virtual Assets Limited have received approval from the UK Financial Conduct Authority to operate as registered cryptoasset exchange providers in the country.

According to an announcement shared with crypto.news, the registrations add to the group’s existing FCA Electronic Money Institution authorization and create a dual regulatory structure that allows the company to offer regulated cryptoasset services alongside electronic money operations in the UK.

The approvals come as Aave Labs continues expanding its regulated presence across Europe following its November 2025 authorization under the European Union’s Markets in Crypto-Assets Regulation framework. At the time, Push Virtual Assets Ireland Limited secured a Crypto-Asset Service Provider license from the Central Bank of Ireland, allowing the company to passport services across the European Economic Area.

Stani Kulechov, founder and CEO of Aave Labs, said the UK registrations provide the regulatory base needed to launch “next-generation, zero-fee onchain consumer financial products” in the market.

“With regulatory permissions now established across both the UK and EEA, we are well positioned to scale product development and deliver secure, trusted user experiences across these markets in line with applicable regulatory requirements,” he added.

UK approvals expand Aave Labs’ regulated footprint

Operating under the FCA’s Electronic Money Regulations 2011, Push Labs Limited is authorized to issue electronic money in the UK. Combined with the new cryptoasset registration, Aave Labs said the structure allows the company to build fiat-to-crypto infrastructure designed for onchain financial services.

Within the announcement, the company also linked the regulatory approvals to its strategy of combining blockchain infrastructure with regulated financial products targeted at mainstream users. Aave Labs said the UK and European permissions would support the rollout of zero-fee stablecoin and on-and-off ramp services.

Under the FCA registration framework, Push Labs Limited and Push Virtual Assets Limited were approved as cryptoasset exchange providers for anti-money laundering purposes under the UK’s Money Laundering, Terrorist Financing and Transfer of Funds Regulations 2017.

DAO funding plan backs expansion efforts

As previously reported by crypto.news, Aave Labs received fresh backing from the Aave DAO after token holders approved a funding package worth $25 million in stablecoins and 75,000 AAVE tokens under the “Aave Will Win” framework. 

According to the governance proposal, the stablecoin allocation will cover operational costs over the next 12 months, while the AAVE token allocation will vest across four years.

At the same time, the proposal changed how revenue generated by products tied to the Aave ecosystem would be handled. According to the approved framework, income from services such as Aave Pro will move directly into the DAO treasury, while the community treasury assumes responsibility for funding Aave Labs’ operations.

Aave Labs previously said the strategy was designed to position the protocol for increased institutional participation as more financial firms move on-chain under emerging regulatory frameworks. The company also confirmed Aave V4 as the protocol’s long-term technical architecture.

Despite the proposal receiving roughly 75% support from token holders, some community members questioned the size of the funding package and the governance influence tied to the token allocation. Concerns around the handling of the proposal process later prompted the Aave Chan Initiative, one of the protocol’s prominent delegates, to reduce its involvement in DAO governance.