According to official news from Chaos Labs on April 7, Chaos Labs, responsible for risk management of the Aave V2 and V3 markets since November 2022, announced that it will withdraw from its partnership with Aave and proactively terminate the cooperation agreement. Although Aave Labs had proposed increasing the budget to $5 million to retain the partnership, the two parties had fundamental disagreements over risk management priorities and approaches, leading Chaos Labs to decide to leave.

Chaos Labs stated that three years of operational experience and risk management with Aave have made it a benchmark in the decentralized finance sector. However, the new architecture of Aave V4 and the expanded scope of risk management have increased operational and legal burdens, and the current budget is insufficient to support such a large-scale risk management effort. Chaos Labs will conduct a responsible and orderly handover, submitting a detailed transition plan to ensure that the Aave DAO can smoothly transition after its departure.