Aave Asks The Community To Commit To Ethereum PoS Chain

Aave asks the community to commit to Ethereum PoS chain, if they want to participate in an Aave Request for Comment (ARC), which means that, holders of Aave tokens must “commit” to Ethereum’s proof-of-stake (PoS) consensus.

The ARC was put forth on August 16 in light of Ethereum’s impending switch to proof-of-stake. Members are asked to decide on the Ethereum Mainnet’s PoS consensus implementation as the new “canonical” governance system, and they are also granted the right to ban any Aave installations on any other Ethereum forks.

ARC for the Aave DAO to signal support PoS ETH upon The Merge https://t.co/0A4YkpHLdq

— stani.lens @ ETHLatam 🇦🇷 (🌿,👻) (@StaniKulechov) August 16, 2022

The proposal will shortly be posted on AAVE’s DAO, which enables holders of AAVE tokens to vote on software advancements and AAVE protocol improvements.

Aave Asks The Community To Commit To Ethereum PoS Chain

The plan has two key specifications, which are listed on Aave’s governance website. The Aave DAO implemented on Ethereum Mainnet’s PoS consensus will be officially acknowledged by members as the “canonical governance [mechanism]” of the Aave DAO and Aave marketplaces.

The Community Guardian will also have the power to stop any Aave deployments on any other forks that result from the Ethereum Merge after receiving a signal, which is the second provision.

Aave Companies have proposed this ARC that calls for the Aave DAO to commit to selecting the Ethereum Mainnet running under the Proof of Stake consensus https://t.co/eDGwjLFKz7

— Aave (@AaveAave) August 16, 2022

The results of the governance vote should provide a clear indication of how Aave members feel about the switch from PoW to PoS.

The deployment of Aave V3 on the Ropsten and Goerli testnets during the Merge testing allowed Aave to claim that their code was “totally functional” with Ethereum’s consensus update in the report.

According to Tim Beiko, an Ethereum Core developer, the most recent preliminary timeline for the Ethereum Merge calls for it to go into effect on September 15.

Aave, which was initially launched on the Ethereum Mainnet, is currently available on Avalanche, Arbitrum, Optimism, Polygon, Fantom, and Harmony. Aave’s market and token price might be affected by any alternative Ethereum forking that results from the Merge since $5.44 billion, or 72.6% of its total value locked (TVL), is stored on Ethereum.

The AAVE token costs $109.95, as of the time of writing. After Uniswap (UNI) and ApeCoin, AAVE is presently the third-largest DAO by market cap ($1.54 billion) (APE).

The ETH Merge

As reported earlier, and stated above, the Ethereum Merge date was set as September 15. Tom Beiko and other core developers decided on the date on a developer call on August 11.

The preliminary timeframe was set as September 19, before deciding to push it to three days ahead of the date.