Aave founder Stani Kulechov denied reports that the protocol plans to sell AAVE tokens at a 70% discount, following a leaked report suggesting Kraken is in talks to buy a roughly 15% stake at a $385 million valuation. Kulechov called the framing inaccurate, confirming only that external parties discussed purchasing an AAVE allocation held by Aave Labs. He stressed that Aave Labs serves merely as a service provider and does not take protocol revenue, which fully flows to token holders under the 'Aave Will Win' framework. Additionally, he teased 'Aavenomics 3.0', which would automate AAVE buybacks, extending a discretionary program already authorized to buy up to $50 million annually. The token traded near $82, up nearly 5% in 24 hours. The stake rumors come amid Aave's recovery from April's KelpDAO exploit, which caused up to $230 million in bad debt but did not breach Aave's smart contracts. Kraken's potential acquisition would align with its buying spree ahead of a planned public listing, including the purchase of derivatives venue Bitnomial for up to $550 million. Aave plans a quarterly community call within weeks to clarify next steps.

Key facts

• Aave founder denies reports of AAVE token sale at 70% discount
• Kraken stake rumor values 15% at $385 million; both sides haven't confirmed
• Aave Labs holds AAVE allocation, but founder says no revenue taken from protocol
• Planned Aavenomics 3.0 would automate AAVE buybacks, currently up to $50M/year
• Token up nearly 5% in 24 hours amid dispute; Aave recovering from KelpDAO exploit