The Aave, Kamino, and Veda legal framework paper submitted to the SEC highlights that mandatory public notice and time delays for DAO governance changes allow users to withdraw assets before new protocol rules take effect

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SEC met with Aave Labs representatives and Winston & Strawn LLP lawyers to discuss the ERC-4626 vault standard, yield generation, and Aave V4 architecture

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Aave Labs, Kamino Foundation, and Veda Tech Labs Inc. released a public summary of their SEC DeFi legal framework submission

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Aave Labs, Kamino Foundation, and Veda Tech Labs Inc. submitted a paper to the SEC's Crypto Task Force proposing a legal framework for DeFi lending

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A governance proposal sought approval to deploy Aave V4 on Monad featuring a lending hub for tokenized stocks, ETFs, and U.S. Treasury bills

The framework submitted by Aave Labs, Kamino, and Veda to the SEC on October 26, 2026 asserts that DeFi lenders earn interest based on published per-unit rates rather than sharing in collective business profits or relying on central entity promises

The Aave Labs, Kamino, and Veda framework paper asserts that decentralized lending markets can continue operating under existing code rules even if a DAO stops making governance decisions

The Aave Labs, Kamino, and Veda submission to the SEC acknowledges that vault curators who make investment decisions involving securities may still qualify as investment advisers under federal law despite not taking custody of user assets

The legal paper submitted by Aave, Kamino, and Veda to the SEC argues that non-custodial vault users retain direct ownership of deposited assets despite limited allocation choices made by curators

Aave Labs, Kamino, and Veda argue that users depositing crypto or borrowing against collateral in DeFi lending protocols do not enter securities arrangements under the Howey test, Reves, the Investment Company Act, or the Investment Advisers Act

An SEC investigation into the Aave protocol opened around 2021 concluded in December 2025 without any enforcement recommendation

Aave restricted tBTC lending after Threshold suspended redemptions

The attacker behind the October 29 Binance hack borrowed approximately 20,000 Ether against collateral on the Aave lending protocol

Following the October 29 Binance hack, the Aave community voted to freeze Aave lending markets across all networks to prevent the attacker from swapping or borrowing against stolen collateral

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Aave launched USDC incentives on its v4 platform on Base to make borrowing USDC against tokenized stocks cheaper, targeting both existing users and potential newcomers

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NEAR Protocol's House of Stake voted to approve proposal HSP-029, lowering the network's maximum annual token issuance from 2.5% to 1.6%

Following the Security Council's April 2026 KelpDAO recovery, an ArbitrumDAO vote was delayed when families holding unpaid terrorism judgments against North Korea attempted to claim the ETH recovered from the KelpDAO exploiter in federal court

Arbitrum's Security Council is a 12-member body elected by ARB token holders that requires nine signers to execute emergency protocol updates

Steven Goldfeder, co-founder and CEO of Offchain Labs, stated in July 2026 that Arbitrum's emergency powers belong to an external, broadly elected council rather than individual developers

Arbitrum's Security Council previously used its emergency powers in April 2026 to transfer over 30,765 ETH from an address held by the KelpDAO exploiter on Arbitrum One

Security firm Zealynx noted that blockchain rules requiring a private key to authorize transfers hold true only up to whoever controls the protocol's upgrade path