Aave’s Migration Worth $700 Million Kicks Off With Voting

Aave’s migration to the community was kicked off with the voting opportunity that will bring a bigger say in the decision made for the project as we are reading more in the latest crypto news.

The DeFi king wants to make the project more decentralized and the first step is to put the token migration to the community. Aave launched a new governance platform allowing the community to have a louder voice when making decisions about the project. The first decision the community can vote on the project’s upgrade governance token. If approved, Aave’s token LEND will become a powerful currency.

Aave’s migration is a part of the launch of Aave Governance as the community of the project has to make its first decide whether to deprecate the governance token LEND or to migrate it to a new one. LEND currently has a market cap of $705 million. The team behind the decentralized finance protocol announced the new proposal dubbed Aave Improvement Proposal and if this proposal passes after the voting closes in four days, the protocol will get rid of every LEND used to launch AAVe and will convert the LEND tokens into Aave tokens at a rate of 100:1.

Aave Governance is officially on mainnet, giving the decisional power to the community! Now it’s time to vote on the very first Aave Improvement Proposal (AIP) for the token migration from $LEND to $AAVE.

Thread on how to vote⬇️

Blog post for details: https://t.co/Z09ajBmb2Y

— Aave (@AaveAave) September 25, 2020

Aave is a non-custodial lending protocol that lets the users lend and borrow cryptocurrencies with small collaterals. With $1.45 billion worth of crypto locked into the smart contracts, Aave is the biggest DeFi project third after Maker and Uniswap. Aave tokens are similar to LEND tokens in that they do allow holders to make decisions on how to improve the network but if the token lets holders do more with the protocol such as staking tokens in the safety mode, acting as an insurance in case of the deficit on the platform and the stakers can earn a percentage of the fees.

Anyone that uses the protocol will earn LEND as it is also available on exchanges and many invest in it as a speculative asset by exploding with the value this year. The current price of the token is now standing at $0.56 which marks a 2,675% increase since the start of the year according to CoinMarketCap which falls under the plan for a decentralization “Aavenomics” as Aave said in a blog post:

“Decentralization is the Aave ethos, and the goal was always to give the decisional power to the community.”