Aerodrome Dual Token Model and Governance Outlook

11/3/2025, 7:35:08 AM
Aerodrome is a decentralized liquidity center built specifically for the Base network, combining automated market maker (AMM) technology, low fees, high incentive mechanisms, and transparent governance.

What is Aerodrome?

Aerodrome is building a community-centric decentralized trading platform, where all fees and rewards are returned to the users. The platform features a transparent governance system, allowing Token holders to participate in decision-making through holding veAERO, including fee distribution and Token issuance rate. The project has no pre-sale or financing background and is positioned as a true public infrastructure, combining Base’s efficient performance and Flashblocks technology to achieve low slippage and fast trading experience.

Dual Token Model Interpretation

Aero’s dual Token architecture includes:

  • AERO: A utility Token that rewards Liquidity providers.
  • veAERO: Generated by locking [AERO], used for voting and governance, with a lock-up period of up to four years; the longer the lock, the greater the voting weight.

This design combines incentive and governance functions to support the long-term stable development of the community.

Core Reward Mechanism and Dynamic Regulation

The platform implements a period-based reward (Epoch) mechanism that automatically allocates [AERO] based on the liquidity pool weights. When the issuance rate falls to a certain level, the community decides whether to adjust the inflation rate (Aero Fed). Additionally, the Rebase model incentivizes long-term locking, prevents voting power dilution, and ensures ecological stability.

Development Blueprint

The planning of Aerodrome is divided into three phases:

  1. Early promotion and community incentives.
  2. Improve and strengthen DAO governance, expand international markets.
  3. Become the Base core Liquidity center, integrating AI and data analysis technology to optimize user experience.

This roadmap clearly guides the platform towards mature infrastructure.

Summary

Aerodrome is not only a traditional AMM, but also an innovative DEX driven by the community. With dual Token incentives and a strong governance structure, it is expected to become the core Liquidity solution of the Base ecosystem, leading the future development of decentralized finance.

* The information is not intended to be and does not constitute financial advice or any other recommendation of any sort offered or endorsed by Gate.