Aave Founder Denies Discounted Kraken Stake Sale Report, Confirms Buyback Strategy

In a bold move that underscores Aave's market confidence and strategic autonomy, founder Stani Kulechov has unequivocally dismissed recent reports suggesting a discounted token sale to Kraken. The rumors, which claimed a 70% discount on AAVE tokens as part of a $71 million deal including a 35,000 ETH investment and equity stake, were labeled 'baseless' by Kulechov. Instead, the DeFi lending giant is charting its own course with Aave Labs spearheading an automated buyback program under the newly unveiled Aavenomics 3.0, leveraging the protocol's impressive $134 million in annualized revenue. This bullish development signals Aave's commitment to sustainable growth and token value appreciation, positioning it as a pillar of the crypto lending ecosystem. As the market digests these denials and strategic shifts, all eyes are on how this saga reinforces Aave's standing as a transparent and forward-thinking protocol, especially amidst ongoing partnership discussions that could further amplify its reach in the digital asset space.

Aave Founder Denies Discounted Kraken Stake Sale Report, Confirms Buyback Strategy

Aave founder Stani Kulechov has categorically denied reports of a discounted token sale to Kraken, calling the alleged 70% discount "baseless." The protocol's $134M annualized revenue and strategic partnership discussions take center stage as Aave Labs designs automated buybacks under Aavenomics 3.0.

Kraken's rumored 35,000 ETH investment for 250,000 AAVE tokens and equity stake—valued at $71M—remains unconfirmed. Kulechov emphasized that any token transactions would involve Aave Labs' treasury holdings, not market-dilutive sales. "This is about long-term alignment, not fire sales," the founder stated, dismissing speculative valuation math.

Kraken in Talks to Acquire 15% Stake in Aave at $385M Valuation Amid Founder's Resistance

Kraken's parent company Payward is negotiating a $71 million investment to secure a 15% stake in Aave, the leading decentralized lending protocol on Ethereum. The deal proposes exchanging 35,000 ETH for 250,000 AAVE tokens and equity, valuing Aave at $385 million—a 70% discount to its fully diluted token value.

Aave founder Stani Kulechov vehemently opposes the terms, stating the protocol would never sell tokens at such a steep discount. The talks unfold as Aave recovers from April's KelpDAO exploit, which triggered over $8 billion in withdrawals.

Payward aims to leverage the investment to expand its asset management division, with plans to involve additional investors. The move signals growing institutional interest in DeFi despite recent turbulence.

Kraken Integrates Prime Services with Trever for European Banks

Kraken has embedded its institutional Prime services into Trever's platform, granting European banks seamless access to crypto liquidity without infrastructure overhauls. The integration delivers execution, qualified custody, and settlement within existing workflows—bypassing the need for multiple providers.

Financial institutions now route trades across 20+ global liquidity venues through a single connection. Kraken's unified record-keeping system reduces operational friction while maintaining compliance rigor. "No new infrastructure," notes Kraken Institutional. "Just direct access to 90%+ of digital asset liquidity."