Kraken is in talks to buy a 15% stake in AAVE

[fullfitlarry]

https://x.com/CoinDesk/status/2070194819633164513

This is probably one reason why AAVE rose in the last 24 hours as obviously by now this is a very bullish news.

And most likely it's a win-win situation for both, as Kraken is a huge exchange and investing or buying 15% on AAVE is big. And it could mean than AAVE might have a lot of roadmap ahead and they're going to be a lot of protocol changes to be very competitive.

Perhaps this could be the start of a new trend of crypto exchanges instead of IPO, could be buying on some DEFI.

What do you guys think of this move by Kraken?

[shinratensei_]

Don't know how true that is, the founder is actually pushing back on this rumour



his pushback could be a damage control to keep people from thinking AAVE is only worth 70% of current price because the news coindesk presented saying aave valuation only worth $385m??
it will be unclear until the deal went through, my guess is kraken buying the private company behind aave, which is Aave group SEZC based on cayman island.

[_act_]

I have been buying aave since few weeks ago when KelpDAO bridge exploit occured that it was later dusted and no companies were affected. Aave also stayed strong at the time, but it fell when other coins were falling. I think it fell to $57 but before the recent pullback, it was around $75. So I was very surprised yesterday when the coin  price rose over $80 instead despite that it has the similar fall pattern with bitcoin.

[coinrifft]

I have been buying aave since few weeks ago when KelpDAO bridge exploit occured that it was later dusted and no companies were affected. Aave also stayed strong at the time, but it fell when other coins were falling. I think it fell to $57 but before the recent pullback, it was around $75. So I was very surprised yesterday when the coin  price rose over $80 instead despite that it has the similar fall pattern with bitcoin.

Ok, yeah, aave had a recent spike and this could be the catalyst. But the question is if this news could really put aave at a momentum or this is just temporary uptick. But as far as the news goes, it's good for them.

I'm also not sure if this is the first time that we have heard a crypto exchange investing on a project. If yes, then this could set a precedent. And we all know that if you are the prime mover, then you might have the support of the community. So let's see how this partnership will turn out specially in the bull run as this could be better set up during that cycle and not in the negative sentiments of the bear.