December 23, 2025

The price of AAVE has dropped a bit in the past two days. The reason for the decline is that a large holder has sold off. As for why the large holder sold, it is because there was a dispute between the DAO and Labs. Labs transferred 10 million in profits without the community's consent, claiming it was their rightful share, but from the community's perspective, this clearly belongs to the community's assets.
It seems that TAO is trying to reclaim brand-related assets of AAVE, such as domain names and accounts. A good project has suddenly faced a governance crisis. This not only scares large holders into cutting their losses and liquidating, but also raises concerns about the future of DeFi for others. The decentralized experimental DAO is facing enormous challenges, one after another, while the competition for core assets is the most critical.
This matter not only harmed the AAVE project but also exposed the vulnerabilities of DAOs. In a sense, the brand resources controlled by Labs are a crucial part of this project, but since we are moving towards decentralized governance, why is the control not in the hands of the DAO? Of course, this is an important conflict, as similar issues will surely arise in DeFi projects in the future. Let's see how things develop; if AAVE experiences a significant drop, it might present an opportunity.
In terms of market trends, after a series of small upward movements in the past two days, it has started to consolidate, which is expected. Regarding the short-term market, I have a feeling that when market liquidity is very poor and there is no sharp decline, it means that the main players are accumulating and stabilizing the market. Anyway, currently...