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The risk manager for the cryptocurrency lending platform Aave, Chaos Labs, is ending its collaboration with the ecosystem after more than three years of partnership. This marks the third instance of a key partner departing from Aave this year due to disagreements regarding project governance.
Omer Goldberg, the founder of Chaos Labs, cited the unprofitability of the partnership as the reason for this decision: his company has been operating at a loss for the past three years. The budget for Chaos Labs in 2025 was projected at $3 million, while the minimum requirements to support the ecosystem were estimated at $8 million—representing 5.6% of Aave’s protocol revenues.
However, according to Goldberg, even if financial issues had been resolved, differences in perspectives on priorities and risk management within Aave would have persisted, leading the risk manager to exit the project regardless.
“This decision was not made hastily. We are leaving because this collaboration no longer aligns with our views on how risk management should be conducted,” Goldberg stated on the social media platform X.
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Goldberg acknowledged that following the launch of the fourth version of Aave a week ago, significant disagreements arose between the leadership of the companies regarding risk management. He believes that the rapid transition to the new version of the protocol poses considerable short-term risks due to the increased strain on the infrastructure.
“Implementing a new version necessitates the creation of new infrastructure, tools, simulations, and a full operational load—essentially starting from scratch on an untested codebase. History shows that such transitions can take months or even years. The load during the transition does not decrease by half—it doubles,” Goldberg reported.
Since 2022, Chaos Labs has evaluated all loans initiated on the Aave platform and managed risks across all markets and networks of the second and third versions of the protocol.
Previously, the project partners BGD Labs and Aave Chan Initiative (ACI) announced their withdrawal from collaboration with Aave. They were the primary developers of the platform’s programs and updates. Chaos Labs remained the last major technical participant in the ecosystem. Disagreements among Aave participants began in December over the fees from the new CoW Swap integration, with revenues benefiting the parent company Aave Labs rather than the community treasury.
