Aave Labs founder clarifies that no new tokens will be created for Horizon
Aave Labs founder Stani Kulechov clarified on Sunday that no new tokens will be created for Aave's proposed product, Horizon.
The company's recent proposal for Horizon, which aims to integrate real-world assets into decentralized finance, has sparked debate in the Aave community. Temperature Check invites the community to provide feedback on the launch of Horizon's RWA product for institutions. The controversial part of the proposal suggests that if a token is created, Aave DAO could receive a 15% distribution as well as a revenue-sharing arrangement. This has sparked concerns that the new token could dilute the value of existing AAVE tokens and undermine the focus of AAVE as the only governance and utility token. The opposition is so strong that Marc Zeller of the Aave Chan Initiative, among others, has publicly stated that he would not support the proposal in its current form. Kulechov clarified the situation to X, saying that the Aave DAO is not interested in introducing additional tokens and that developers will respect the consensus. Due to the cancellation of the token program, it is unclear whether Aave Labs will continue the deployment of Horizon.