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BGD to Leave Aave Citing Governance Tensions

Network & InfrastructureDeFiIndustry News
February 20, 2026
1 min read
BGD to Leave Aave Citing Governance Tensions

BGD Labs, one of the main teams that builds and maintains Aave’s technology, said it will stop working with the Aave DAO when its contract ends on April 1, 2026.

Aave is currently the largest decentralized finance (DeFi) protocol, with more than $26.8 billion in total value locked, according to DeFiLlama. In a new blog post, BGD said its decision to leave after four years follows disagreements about the protocol’s future direction.

One of the key issues, the team said, is increasing pressure to focus on v4, even though v3 remains the main system in use. The v4 testnet went live in November 2025 and introduced a new “hub-and-spoke” architecture aimed at reshaping DeFi lending.

To continue reading this as well as other DeFi and Web3 news, visit us at thedefiant.io

RELATED TOPICS

aave protocoldecentralized financebgd labs departureaave v4liquidity protocoldefi governancevalue lockeddecentralized lendingprotocol developmentdao disagreements

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