AAVE price surges with discussions about new fee switch approach

Aave’s founder recently shared an interest in redefining the protocol’s fee structure. Marc Zeller intends to redistribute the token fees among holders and stakers.

According to Zeller, Aave’s DAO is generating enough profits to cover its operational expenses for at least 5 years. Meanwhile, the coin has gained 3.63% in value in the past 24 hours, currently trading at 125.14 dollars.

According to the latest Aave price prediction, the coin can end the year at 215 dollars. For that to happen, Aave must restructure its changes effectively. Marc Zeller recently discussed the fee switch via X.

The founder will now conduct a temperature check to determine whether Aave holders are interested in the fee restructure. Zeller confirmed that Aave is earning more than enough profits via its DAO to maintain the operational expenses for five years.

That is why the protocol is considering a renewed safety module for fee distribution in the coming weeks. Zeller’s official X thread revealed that the Aave treasure cash currently stands at 50 million dollars.

The Treasury includes both ETH and stables, with the amount covering at least two and a half years of operational costs. Aave DAO’s net profits also stand at 50 million dollars a year, with growth incoming.

In the meantime, Skywards has proposed adding Ethena’s sUSDe to Aave V3 on the Ethereum network. sUSDe is Ethena’s staked version of USD, and Skywards has shared its proposal with its community members.

While Zeller’s comment primarily generated the 3%+ change in Aave’s value, it is safe to assume that the proposal also played its part. With Aave conducting tests for the new fee structure in the coming week, the coin is expected to fluctuate in value even more.

Scott Cook

Scott Cook got into crypto world since 2010. He has worked as a news writer for three years in some of the foremost publications. He recently joined our team as a crypto news writer. He regularly contributes latest happenings of crypto industry. In addition to that, he is very good at technical analysis.

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