Polygon and Aave Clash Over Yield Farming Fund Proposal Polygon and Aave, two leading projects in the decentralized finance (DeFi) space, have clashed over a governance proposal to create a yield farming fund. The proposal, which was submitted by the Polygon team, would have invested user funds in DeFi protocols without any safety measures. Aave founder Stani Kulechov said that the proposal had "very little risk management" and that there was talk that the investment partners had been decided upon secretly beforehand. Aave decided to step in and block the proposal, as it would have had a significant impact on Aave's risk profile. Aave represents 40% of Polygon's TVL and also runs the governance and security modules for Polygon. The Polygon team has since blamed Aave for the failed proposal, claiming that it was a premeditated attack on a competitor. However, Kulechov has denied these claims, saying that Aave was simply acting in the best interests of its users. The clash between Polygon and Aave highlights the growing tensions between different DeFi projects. As the DeFi space matures, projects are increasingly competing for users and market share. This competition is likely to lead to more conflicts in the future.

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