View: Portraying the WLFI token distribution as Aave's inherent value is not accurate, 7% token value is too high

BlockBeats News, August 24th, Founder of DeFi protocol dForce, Mindao, expressed his views on the "Can Aave Obtain 7% of WLFI Token's Total Supply" event, stating that Aave's previous partnership with Spark received a 10% revenue share. In comparison, the terms of Aave's collaboration with WLFI, receiving "20% revenue share + 7% token allocation," are significantly more generous, not aligning with the deal terms the Trump family is willing to agree to. The WLFI project is endorsed by the Trump brand and, with the subsequent addition of the US Crypto New Deal, WLFI will be issued at USD1, shifting its narrative directly from "crypto bank" to a combination of "Aave + Circle," significantly increasing its valuation.

Founder of Aave, Stani.eth, enthusiastically retweeted yesterday, stating, "Based on the current price, the Aave Treasury will receive WLFI worth $2.5 billion, making it one of the biggest winners in this round." He referred to this as the art of the deal, following which AAVE surged to reach $385. Mindao mentioned that some users consider the token distribution of WLFI as the intrinsic value of Aave. This assessment is inaccurate, as neither proposal mentions that WLFI will allocate token distribution to the Aave Treasury; it is primarily used for liquidity mining incentives, and AAVE token holders will not directly receive the distribution. It is expected that the subsequent development of the event will lead to WLFI completely abandoning Aave and causing the contract to expire naturally. Alternatively, there may be a large-scale reduction in the WLFI token distribution share, reallocating it to incentivize lending coinage for USD1 as a targeted stablecoin minting operational subsidy.