A governance dispute is brewing in the Aave ecosystem as conflicting reports on funding and contributions are released ahead of a vote on a proposed $50 million package for Aave Labs. A transparency report by ACI founder Marc Zeller reviewed Aave Labs’ historical funding, while Aave Labs released its own contributions report, outlining its role since 2017.

The dispute revolves around the “Aave Will Win” framework proposal, asking tokenholders to approve $42.5 million in stablecoins and 75,000 AAVE tokens. Aave Labs would direct 100% of revenue from Aave-branded products to the Aave DAO treasury under a DAO-funded operating model. Questions on accountability, revenue attribution, and infrastructure maintenance have surfaced.

Zeller’s report reveals Aave Labs has received around $86 million in lifetime capitalization, including ICO proceeds, venture funding, and DAO payments. He suggests future DAO grants be evaluated based on measurable revenue impact and clear disclosure standards. ACI questions if governance votes should be unbundled to separate funding, revenue alignment, and V4 ratification.

Aave Labs’ contributions report highlights its role in designing and shipping Aave V1, V2, and V3, emphasizing features like flash loans, the Safety Module, and Efficiency Mode that support the protocol’s revenue model. Aave Labs argues that governance proposals and forum posts do not capture the full scope of work required to maintain the protocol.

Under the “Aave Will Win” framework, Aave Labs plans to transition to a DAO-funded operating model, directing product-level revenue to the DAO. The proposal also seeks ratification of Aave V4 as the long-term technical foundation and outlines plans for a new foundation to steward the Aave brand. Concerns have been raised about the size of the funding package and the inclusion of 75,000 AAVE tokens with voting power.

Read more at Cointelegraph: Aave Governance Vote Nears Amid $86M Capital Review