A major AAVE holder, the second-largest outside the team and exchanges, has sold their entire stake of 230,000 tokens, incurring a significant loss. The tokens, originally purchased at $223.4 in late 2024, were sold at approximately $165, resulting in a $13.45 million loss. This sale has contributed to a 12% drop in AAVE's price. The sell-off comes amid a governance dispute following a controversial change in fee distribution, which redirected swap revenue from the Aave DAO to Aave Labs. This decision has sparked community backlash due to perceived poor communication. A snapshot vote is currently underway to determine the protocol's future direction, as the market reacts with increased volatility.