Large On-Chain Holder Sold Significantly Before Proposal Launch for "Aave Brand Decentralization," AAVE Plunges 12% This Morning

BlockBeats News, December 22: According to HyperInsight monitoring, due to this morning's short-term decline in AAVE, the leading long whale (0x074) on Hyperliquid saw its floating loss expand to 176% today, with an average price of $189 and a position size of approximately $1.2 million. This long position was opened on November 16.

Furthermore, according to on-chain analyst Yu Jin's monitoring, the main reason for this morning's AAVE price drop was a large-scale sell-off. The whale address, ranked second in AAVE holdings, sold 230,000 AAVE (approximately $38 million), causing a brief drop in AAVE price. During the period from 5:40 to 7:05 a.m., the whale exchanged all AAVE for 227.8 WBTC and 5869.4 stETH. It is reported that these AAVE tokens were purchased from the end of last year to early this year, with an average cost of around $223.4. The whale liquidated the position at an average price of around $165, resulting in an estimated loss of $13.45 million.

In early news today, the Aave community will initiate a vote on the "Asset Right Control Transfer to Holders" (ARFC) proposal on Snapshot tomorrow at 10:40, with the vote running until December 26. The proposal is seen by the market as a "decentralized measure to transfer brand assets' control to the DAO." While this has raised concerns, it has also partially eliminated future elasticity expectations related to brand assets, leading to a short-term market repricing.