Each proposals have been introduced ahead by Aave governance delegation ACI.
The primary proposal, which handed with 99.5% approval, says USDS “generates negligible revenue while its issuance model introduces asymmetric risks.”
In addition to disabling its use as collateral, the proposal recommends rising USDS’s reserve issue (the proportion of borrower curiosity paid to Aave’s treasury) to 25% and eradicating it from the upper effectivity “e-Mode” for correlated belongings.
Aave is a crypto lending platform and the DeFi sector’s largest protocol, with $33 billion of complete worth locked (TVL). Sky, previously Maker, is the issuer of stablecoins USDS and (beforehand) DAI, which is probably going subsequent within the firing line.
Sure following advice of danger groups dai will comply with.
— Marc ”七十 Billy” Zeller 👻 🦇🔊 (@Marczeller) December 2, 2025
GFX Labs’ Paper Imperium known as the vote a “reputational blow for Maker/Sky,” whereas Sky founder Rune Christensen believes there have been “misunderstandings” over sure mechanics of the Sky ecosystem.
‘Underperforming’ cases
A second vote, a “temperature check” on paring down Aave v3 cases, is at present underway, with YAE votes sitting at 99.9%.
It recommends specializing in chains “which present the highest opportunity for revenue generation.”
The submit suggests winding down Aave’s v3 cases on zkSync, Metis, and Soneium cases. It argues that, of Aave v3’s $175 million annualized income, the three deployments mixed contribute simply $76,000 and signify simply 0.05% of complete TVL.
It additionally recommends upping reserve components to “improve revenue on instances which are currently underperforming,” as a way to “offset the costs and risks they incur.”
For future deployments, the proposal suggests a $2 million “annual revenue floor.”
Solana platforms infighting
Solana-based lending platform Kamino allegedly blocked its customers from migrating positions through Jupiter Lend’s refinancing software. A Fluid developer described the transfer, which seems to particularly goal the Jupiter program, as “ignoring open-finance principles.”
Nonetheless, one other Solana developer identified that Jupiter Lend is closed-source and “upgradeable via multisig.”
They clarify, “neither side is community DAO governed, and either program can change rules or restrict access.”
The truth that Kamino’s code is accessible to show the restriction places it “closer to open finance” than Jupiter Lend, they argue.
