Aave Labs CEO Stani Kulechov dismissed Kraken’s recent takeover negotiations. Crypto exchange Kraken is reportedly considering acquiring a 15% stake in Aave Group, the entity behind DeFi lending protocol Aave.
In return, the exchange would invest $71 million, including an investment of 35,000 ETH as part of the deal.
Although Kuleshov did not deny the discussions, he corrected some details made public, noting that:
First of all, we can’t sell AAVE at a 70% discount lol… Aave currently generates $134 million in annualized revenue, which goes to the Aave DAO.
He added that Aave is building for the entire addressable market (TAM) of finance, including tokenization, not just crypto. And the revenue will go to Aave DAO, not Aave Labs.
Additionally, Kulechov said there are plans for Aavenomis 3.0, which will include a “new automated, non-discretionary redemption mechanism.”
While it’s unclear whether or not the reported deal will go through, the update boosted AAVE value on the graphs.
AAVE extends price rise
The altcoin jumped 12% after Kulechov clarified buyout negotiations. The upcoming tokenomics and buyout plans probably could have been a catalyst.
AAVE rebound hit $88, up more than 50% recovery rally in June. This is despite the token still being down around 77% from its 2025 all-time high of $386 at press time.
Despite everything, its recent impressive recovery is not surprising.
Most altcoins posted yearly lows and seller exhaustion was felt. In fact, Santiment data showed that AAVE’s overall selling pressure, as tracked by supply on exchanges, began to fall sharply in late May.
This coincided with the local AAVE price near $50. With reduced selling pressure, any minor catalyst has allowed some altcoins, including AAVE, to rebound strongly.
For AAVE, however, the 2026 setback is due to governance conflicts and macroeconomic pressures. As several builders left the ecosystem, citing excessive control by Kulechov-led Aave Labs, the price of AAVE plummeted.
It remains to be seen how the market will react to the Aavenomics 3.0 launched by Kulechov and whether this will stimulate the recovery of AAVE.
Final summary
- Aave Labs CEO dismisses Kraken takeover reports, says they will never sell at a discount.
- AAVE extended its June recovery rally to +50% following the Aavenomics 3.0 plan.
