PANews reported on March 17 that according to The Block, Aave Labs founder Stani Kulechov clarified on Sunday that no new tokens will be created for Aave’s proposed product Horizon.
The company recently proposed Horizon, which aims to integrate real-world assets into decentralized finance, which has sparked debate in the Aave community. Temperature Check invited the community to provide feedback on the launch of Horizon's RWA product aimed at institutions. The controversial part of the proposal suggests that if the token is created, the Aave DAO may receive a 15% allocation as well as a revenue sharing arrangement. This has raised concerns that the new token may dilute the value of existing AAVE tokens and undermine the focus of AAVE as the only governance and utility token. Opposition has been strong enough that Marc Zeller of the Aave Chan Initiative, among others, has publicly stated that he will not support the proposal in its current form. Kulechov clarified the situation with X, saying that the Aave DAO is not interested in introducing additional tokens and that the developers will respect this consensus. With the token plan canceled, it is unclear whether Aave Labs will proceed with the deployment of Horizon.
