cryptoslate.com
Aave DAO has repurchased 70,000 $AAVE tokens, or 0.5% of its total supply, in less than six months of its token buyback initiative.
In an Aug. 4 post on X, DeFi analysis platform Token Logic stated that the platform acquired these tokens for $15.7 million at an average purchase price of $223.33 per token.
The platform also stated that the DeFi protocol has an unrealized profit of $2.6 million based on the current market price of the $AAVE token.
Mark Zeller, the co-founder of Aavechan, confirmed the milestone in a separate X post, pointing out that the DAO also reduced emissions by 50%, thereby increasing the appeal of $AAVE and the platform.
Meanwhile, the repurchase program remains ongoing, with the DAO investing approximately $1 million weekly into buying back $AAVE tokens.
Aave strengthens DeFi growth
The buyback initiative aligns with Aave’s broader growth strategy of cementing its status in the DeFi sector.
Last month, the protocol surpassed $50 billion in net deposits, positioning it among the top 50 banks in the US.
The protocol also accounts for around 25% of the total DeFi market, considering the total value of assets locked on the platform is around $33 billion as of press time, according to DeFiLlama data.
Moreover, Seb Pulido, Director of Institutional & DeFi Business at Aave Labs, highlighted the extent of Aave’s market dominance by pointing out that around 60% of Bitcoin users in DeFi use Aave to gain access to dollar-denominated assets.
This commanding position has significantly bolstered Aave’s financial position.
Crypto platform Blocmates noted that Aave generated $86 million in 2024, a 280% increase year-over-year.
However, the platform is poised to surpass that figure this year as its annualized revenue stands at approximately $100 million as of mid-2025.
Looking forward, Blocmate predicted that Aave’s annual recurring revenue (ARR) could exceed \$150 million by year-end.
This growth is expected to be driven by the protocol’s upcoming projects, including Aave V4, the full deployment of Chainlink’s SVR, and increased regulatory clarity in the US.