Aave Governance Dispute Sees TVL Drop from $36 Billion to $26.5 Billion

Governance Dispute Drags On, Aave TVL Plummets

According to on-chain analyst Emery, Aave's governance conflict between the development team and the community has lasted three months, causing its total value locked (TVL) to fall sharply from $36 billion to $26.5 billion.

Sun Yuchen Moves Funds, Sky Emerges as New Favorite

Data reveals that Sun has withdrawn approximately $910 million in stablecoins from Aave, shifting them to Sky and its sub-platform Spark. Since early December, his combined deposits on Sky and Spark have risen from $570 million to $1.48 billion.

Platform Dynamics Undergo Major Shifts

• Sky has now overtaken Aave as Sun’s primary deposit destination
• The movement highlights growing user focus on governance and stability
• This trend could reshape the competitive landscape of DeFi platforms going forward