Aave founder denies 70% discount sale claim amid Kraken stake talks

Aave’s native token $AAVE jumped to an intraday high of $87.5 before settling near $81 after founder Stani Kulechov publicly refuted a report that Kraken’s parent Payward would buy AAVE at a 70 % discount [1]. The dispute centers on a proposed $385 million valuation for a 15 % equity stake in Aave Group, which Kulechov said misrepresents the token’s fully‑diluted market cap.

Founder’s response and token economics

Kulechov emphasized that Aave Labs holds its own allocation of AAVE tokens and that “there is NO WAY we’d sell AAVE at a 70 % discount” [1]. He clarified that 100 % of protocol and GHO revenue flows to the $AAVE token through the DAO, a framework established by the “Aave Will Win” proposal that passed with roughly 75 % support in April 2026 [2]. According to Kulechov, the protocol is generating about $134 million in annualized revenue, all of which accrues to the DAO [1].

The founder also previewed “Aavenomics 3.0,” which will introduce an automated, non‑discretionary buyback mechanism to link protocol excess revenue more predictably to token purchases. Details on the size, launch date, or funding structure of the buyback were not disclosed [1].

Deal structure and market context

CoinDesk reported that Payward is negotiating an investment of 35,000 ETH (≈ $55 million at current prices) for 250,000 AAVE tokens and a 15 % equity stake in Aave Group, with a total package value of roughly $71 million [3]. The reported $385 million valuation would represent about 30 % of AAVE’s fully‑diluted market cap of $1.24 billion, prompting concerns that a private transaction could be viewed as dilutive to token holders despite no direct supply impact [2].

The controversy highlights a structural tension: Aave’s governance directs all protocol revenue to token holders, while the corporate entity behind the code (Aave Group) may have limited independent economic value. This raises questions about how equity stakes in such a decentralized protocol should be priced [3].

Market reaction and price outlook

Following the founder’s comments, AAVE found support around $81, a level roughly 7 % below its recent intraday peak. The token’s price remains above its 30‑day low of $62 but below the $90 resistance seen earlier in the month. Standard Chartered’s new $3,500 price target for 2030 suggests long‑term upside, though short‑term sentiment is dominated by the valuation dispute [1].

What to watch

• Deal valuation – any finalized terms that confirm or refute the $385 million figure.
• Aavenomics 3.0 rollout – launch date and size of the automated buyback mechanism.
• Token price – $75 support and $90 resistance levels as the market digests the controversy.

The clash over a purported 70 % discount underscores the broader challenge of aligning private strategic deals with a token’s public market value in a protocol where all revenue is earmarked for token holders. How Aave reconciles corporate equity with decentralized token economics will shape investor expectations going forward.