Aave DAO approves AAVE buybacks as part of the broader Aavenomics overhaul

The Aave Dao has an overwhelmingly approved one $ 4 million Aave -Tokendoop approved, whereby the first phase of a broader initiative is launched to revise the tokenomics of the protocol.

The Aave (Aave) Dao has officially approved A repurchase plan of $ 4 million from Aave -Tokens. The proposal took place with a consensus of 99.63%.

The proposal authorizes the Aave Finance Committee, a committee supported by the governance to manage Aave’s treasury and financial activities, to start buying Aave tokens on the open market, which will then be distributed under the ecosystem reserve of the protocol.

This first phase of the return program is expected to take a month. If it is successful, it could scale in an initiative of six months with a maximum of $ 1 million in weekly purchases. The phased approach ensures that Treasury funds are used carefully, while they can still have an Aave catching from recording its own tokens of the secondary market to strengthen ecosystem value.

“While they remain extremely conservative with a funds from a treasury, the ACI may believe that this proposal should oblige the AFC to immediately start an Aave -3tRiBuank and distribution program at the pace of $ 1 million/week for the first 6 months of the mandate,” Marc Zeller, founder of the Aave Chan Initive, stated.

Zeller also said that the six -month timeline could be extended if the program performs well. He pointed For earlier initiatives such as Merit, which was originally planned for six months, but has been going on for more than a year, adding that a similar extension is likely if the return initiative delivers.

“Buybacks are forever, the rate is exactly the one who voted for the DAO for the next 6 months to start slowly and in a conservative rate. Like Merit we have started 6 months and now we are celebrating the 16th month of the program, it is being renewed.”

The return initiative is only one part of a radical proposal entered By Zeller and ACI on March 4 this year. Dubbed the Aavenomics -Upgrade, the plan also includes:

• Umbrella – A new system for risk reduction and liquidity management system that is designed to prevent harmful bank runs and to optimize capital efficiency.
• Anti-Gho a non-transferable reward-smoking aimed at improving incentives for GHO Stablecoin users and strikers.
• Lend decline – a final step in the migration of the original management of Aave, Leen, to Aave, who would reclaim approximately $ 65 million from non -compulsory tokens for future use.

The community will continue to vote for future documents of the plan such as technical development and audits progress. In his post on X, Zeller called The move “an important milestone” and described the general plan as “the most important proposal in Aave’s history.”