SEC Drops Four-Year Aave Investigation Without Charges
The Securities and Exchange Commission (SEC) has closed its four-year investigation into Aave without recommending enforcement action. According to a letter shared by founder and CEO Stani Kulechov, the SEC staff stated they do not intend to pursue action against the decentralized finance protocol.
Kulechov described the process as demanding significant resources from the team to protect Aave and the broader DeFi ecosystem.
The closure comes after a series of SEC enforcement actions were withdrawn or dismissed since President Donald Trump's inauguration. Roughly 60% of crypto cases initiated in recent years have seen similar outcomes, according to reports.
Aave token prices surged more than 3% in the 24 hours following the announcement, reaching $187.85, according to Nansen data. The protocol currently holds $32.79 billion in total value locked across its lending markets.