Aave's governance upgrade plans ahead

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Aave's governance upgrade plans ahead

Aave, the top web3 lending protocol, is gearing up to revamp its governance process.

On August 28 BGD Labs published a plan for activating to the project's governance forum. When activated, voting will occur through a new interface on the polygon PoS and Avalanche networks to ensure low transaction fees, with the Aave DAO assisting in the costs incurred by users participating in governance.

The governance upgrade will also activate on Ethereum to provide a backup network, along with Aave's governance upgrade.

The upgrade will allow the use of aAAVE as a voting asset alongside AAVE and stkAAVE. It also plans to launch the Aave Delivery infrastructure, a cloud-based infrastructure for cross-chain communication.

BGD said that all of Aave's infrastructure will be controlled by governance as it moves forward, with the a.DI solving past 'technical limitations'. BGD expects the process to take 21 days to complete. It also resets all Aave governance delegates.

In January 2022, discussions about Aave governance v3 began, eventually leading to a proposal passed via an off-chain vote in July.

AAVE's price is trending sideways despite the news, with a 0.2% drop in the past 24 hours, according to CoinGecko.