Aave DAO’s Pivotal Move: Centralized Aave on Kraken Ink Sparks Crucial Debate

Key Points

1. The proposal involves deploying a licensed, centralized version of Aave's codebase on Kraken's layer-2 Ink blockchain, with revenue sharing back to Aave DAO.

2. This move represents a departure from Aave's traditionally decentralized approach, aiming to explore hybrid models and new revenue streams.

3. Kraken Ink is a scalable, regulatory-compliant layer-2 blockchain developed by Kraken, chosen for its technical capabilities and reputation.

4. The proposal raises concerns about compromising Aave's decentralized ethos and potential impacts on community trust and brand perception.

5. This initiative could signal a broader trend of DeFi protocols exploring centralized or hybrid models to bridge gaps with traditional finance.