- Wintermute confirms long-term AAVE exposure yet rejects brand control without precise value flow.
- Aave governance debate exposes growing gaps between token holders and core developers.
- The vote outcome could possibly reshape DeFi governance paths as the new year approaches.
Wintermute founder and CEO Evgeny Gaevoy said the firm will vote against an AAVE governance proposal seeking to transfer brand asset control to token holders, citing unresolved value capture issues. Gaevoy shared the decision on X, where he also disclosed Wintermute’s long-standing exposure to the AAVE token. He said Wintermute invested in AAVE in 2022, participates in governance, and holds a meaningful position.
He also confirmed no equity exposure to Aave Labs. Gaevoy said the vote reflects deeper disagreements between Aave Labs and token holders over who should benefit from the protocol’s operations.
He warned that unresolved misalignment could slow token growth as the debate intensifies ahead of Aave Network’s expected launch. With voting underway, the outcome now carries broader implications for DeFi governance as 2025 draws to a close.
Disclosure and Value Capture Tensions
Gaevoy began by outlining Wintermute’s financial exposure, stating that both he and the firm hold AAVE tokens. He stated that neither party owns equity in Aave Labs, separating token interests from corporate ownership. This distinction, he said, frames the current disagreement over value capture expectations.
He stated that a clear mismatch in expectations exists between Aave Labs and a large share of AAVE token holders. According to Gaevoy, the dispute centers on who should capture economic value generated by the protocol. He added that similar mismatches exist around external functions, especially business development roles.
Gaevoy mentioned that the token’s growth would depend on the resolution of these issues that were left open. He cautioned that if there is no agreement, the governance actions might turn out to be just a mere display and not a genuine effort. At this moment, he presented the voting process as a communication tool rather than a final laying down of arms.
Governance Vote and Political Friction
The debate centers on an AAVE ARFC proposal to transfer brand asset control to token holders. Gaevoy said the proposal lacks operational clarity and omits governance details for the owning entity. He questioned whether the entity would operate for profit and how it would manage the frontend and brand.
He criticized what he described as political maneuvering around the vote. Gaevoy acknowledged communication flaws from Aave founder Stani Kulechov but stated that the backlash went too far. He argued that public escalation harmed the token’s price during an already sensitive governance process.
Gaevoy said the vote should not move quickly and described it as a temperature check. He stated that success or failure matters less than the signal it sends to stakeholders. What happens when governance debates start shaping market confidence instead of resolving core issues?
Related: AAVE Drops 10% After Whale Dumps $38M in Tokens Fast
Wintermute’s No Vote and Market Implications
Gaevoy confirmed that Wintermute will vote against the proposal based on the outlined concerns. He said the firm still expects Aave Labs to engage seriously with long-term token value capture. According to Gaevoy, solving this issue could set a precedent for other DeFi tokens.
The standoff has divided the Aave community. A variety of participants refer to Gaevoy as an activist investor who is protecting the rights of the token holders. However, others opine that Wintermute’s position will maintain the slow decentralization process, and the institutions’ power will remain as well.
The vote is nearing its final stage, and both proponents and opponents are feeling the pressure. The rejection of the proposal might lead Aave Labs into a more complex and open roadmap. On the other hand, a successful vote might further the differences between the liquidity providers and the core developers before 2026.
