Aave has launched a new RWA product, Project Horizon (Build on AAVE).

Simply put, Horizon's business allows off-chain institutions to collateralize RWA assets to mint $GHO or borrow USDC.

I personally think this is a good thing; first, this product is Aave's new expansion into the RWA sector, and second, this product has the potential to drive external institutions' interest and adoption of DeFi, and even the crypto industry.

However, there are some dissenting opinions in the community regarding profit distribution: 1. Horizon may issue tokens, with 15% allocated to Aave DAO, 10% to the treasury, 3% to incentivize the Aave ecosystem, and 2% airdropped to Staked Aave (stkAAVE) Holders.

Some members of the community are concerned that the issuance of tokens by Horizon may dilute the value of $AAVE, and that the team might focus most of its energy on the operation of Horizon.

2. Horizon's profit components—some members of the community express concerns that the declining profit distribution will harm the future earnings of the Aave DAO treasury.

From a rational perspective, I personally think this design is quite reasonable.

1. Retain the possibility of issuing tokens for Horizon, maximizing the team's interests, while considering the feelings of $AAVE holders in the token economics, directing 15% of the token value to the Aave ecosystem.

2. The annual decrease from Year 1 to Year 4+ considers the business growth rate of Horizon. In the early stages, income is low, so more is allocated to the DAO; in the later stages, as income grows, less is allocated to the DAO, controlling the amount of income distribution within a certain range.

The team hopes to find a balance between its own interests, product development, and the community. It is still in the proposal stage, and many things can be adjusted. After discussions, it is likely that the best balance will be found.

There is no issue with the product direction of Aave; the entry point is well chosen. Personally, I believe this is a positive development for Aave.#avae #比特币反弹 #BNBChainMeme热潮