Aave founder Stani Kulechov has announced the Aavenomics 3.0 update, introducing an automatic on-chain buyback mechanism for AAVE tokens funded by the protocol’s revenue and the stablecoin GHO.
Aavenomics 3.0 aims to integrate the buyback into the protocol’s economy and eliminate discretionary management by the committee. Kulechov described the model as a “default” mechanism that will only stop following a separate governance vote.
Currently, AAVE buybacks are conducted under the Aavenomics Part One scheme. The Aave Finance Committee has been mandated to purchase tokens on the secondary market at $1 million per week for the first six months. Governance can redirect, suspend, or modify this program without altering the protocol’s logic.
The update follows the Aave Will Win framework adopted in April 2026. The proposal published on the governance platform states that 100% of the revenue from Aave-branded products should go to the Aave DAO treasury.
According to Kulechov, this amount currently stands at $134 million annually.
The full specification of Aavenomics 3.0 and the timeline for the initiative’s vote have not been disclosed at the time of publication. Kulechov promised to share details during the next Aave quarterly call, scheduled “in the next couple of weeks.”
Following the upgrade announcement, AAVE’s price surged from ~$79 to ~$98. After a correction, the token is trading around $89, maintaining approximately a 20% increase over the week (CoinMarketCap).
Earlier in mid-June, Grayscale analysts recognized AAVE as “undervalued” and set a baseline target of $179 for the coming year.
