Aave founder Stani Kulechov previewed Aavenomics 3.0 on X Thursday, a tokenomics overhaul that would replace the protocol’s existing discretionary buyback program with an automated, non-discretionary on-chain mechanism funded by all protocol and GHO revenue.
Aave’s governance approved the Aavenomics Part One ARFC in early 2025, which gave the Aave Finance Committee a mandate to execute AAVE buybacks from secondary markets at $1 million per week during the initial six-month period. That works out to roughly $50 million annually in discretionary repurchases, coordinated through the Aave Finance Committee and funded from protocol excess revenue.
The mechanism is committee-directed: governance can redirect, pause, or resize the program without a protocol-level change. Aavenomics 3.0, as described by Kulechov, would harden the buyback into the protocol’s economic architecture. Details on the implementation mechanics and governance timeline are expected at Aave’s next quarterly call, per Kulechov’s post.
The broader context for the buyback upgrade is the Aave Will Win (AWW) framework, which passed governance in April 2026. Under AWW, 100% of revenue from Aave Protocol, from GHO, and from Aave-branded products including Aave App, Aave Pro, and Swaps flows entirely to the Aave DAO treasury. Aave Labs operates solely as a DAO service provider and retains no product revenue.
