Aero is a unified decentralized exchange (DEX) and liquidity hub developed by Dromos Labs. Announced in November 2025, the platform represents the merger of two existing DEXs: Aerodrome on the Base network and Velodrome on the OP Mainnet. Aero is designed to consolidate fragmented liquidity into a single, cohesive layer with its operational hub on the Base network, and it will feature a new, unified native token also named AERO. ^{[1] [2] [7]}

History and Development

The foundation for Aero was built upon two predecessor protocols developed by Dromos Labs. Velodrome Finance launched in 2022 on the OP Mainnet, part of the Optimism Superchain ecosystem. Aerodrome Finance followed, launching on August 28, 2023, on the Base network. ^{[1] [3]}​

Aerodrome quickly grew to become a prominent protocol on Base, establishing itself as the largest DEX on the network by trading volume and a leading protocol by Total Value Locked (TVL), which reached 14.8 million in revenue, ranking it among the top five most profitable DeFi protocols. Significant events in its history include an investment from CB Ventures in February 2024 and a large market purchase and staking of AERO tokens by Animoca Brands in October 2025, which caused the token's value to increase. ^{[1] [4] [5]}​

On November 12, 2025, during its "New Horizon" event, Dromos Labs officially announced the plan to merge Aerodrome and Velodrome into a new, unified platform named Aero. The full launch of the Aero platform is scheduled for the second quarter of 2026. Detailed migration information and full documentation are expected in the first quarter of 2026. Following the launch, the original Aerodrome and Velodrome protocols will remain functional but will no longer receive official support or development from Dromos Labs. ^{[1] [6] [7]}​

Technology and Architecture

Aero is built on a new protocol operating system named MetaDEX03, which was reportedly in development for two years. The architecture is designed to improve cross-chain interoperability, reduce value leakage, and increase revenue generation for the protocol and its users. ^{[4] [1]}​

MetaDEX03 Operating System

The MetaDEX03 OS features a "dual-engine model" intended to enhance protocol efficiency and value capture. The two main components of this model are:

• REV Engine: A mechanism designed to capture and internalize ancillary revenue from new sources without increasing token inflation. At launch, these sources will include front-end swap fees, internal MEV auctions, cross-chain gas payments, fees from liquidity automation services, and veNFT marketplace activity. It is projected to increase overall protocol revenue by 40%. ^{[4] [6] [7]}
• AER (Adaptive Emissions Rate) Engine: An efficiency-focused mechanism that dynamically calibrates AERO rewards at the individual pool level. It aims to prevent overpayment for liquidity while ensuring emissions remain competitive where needed, allowing the system to grow efficiently with the market and surge reward rates during high trading activity. ^[7]

The combined impact of these two engines is projected to deliver 2.8 times more value for the platform's token operators compared to the previous systems. ^[6]​

Key Features

The Aero platform incorporates several new features powered by the MetaDEX03 architecture:

• Slipstream V3: The platform's capital-efficient liquidity model, which embeds a Maximal Extractable Value (MEV) auction directly into the Automated Market Maker (AMM). This allows the protocol to capture revenue typically extracted by external bots. Additional features include dynamic adaptive fees and Onchain Order Flow Payments. ^{[1] [5] [7]}

• Metaswaps: A cross-chain trading feature that abstracts away technical complexities for the user. It enables MEV-protected trading across different EVM-compatible networks from a single interface, without requiring users to manually interact with bridges, switch networks, or manage gas tokens on multiple chains. ^{[2] [4] [7]}

• Autopilot: An automated yield and portfolio management tool. It allows liquidity providers to create optimized, auto-rebalancing liquidity positions with one click. For token holders, it automates the process of locking tokens, claiming rewards, and compounding assets. ^{[2] [7]}

• Metalane: A vendor-neutral, interop-abstracted generic messaging layer designed to internalize the costs associated with cross-chain transport and communication. ^[7]

• Verified Pools: A feature that allows for the integration of various Zero-Knowledge (ZK) based verification stacks, such as Coinbase attestations or World verifications. This enables institutions to use the DEX while complying with regulatory requirements. ^{[4] [6]}

• Token Launch Pathways: The platform provides a suite of options for projects to launch their tokens, centered around the Aero Launcher. The Launcher is a permissionless tool on the Base network designed to create deep, sustainable liquidity through a guided process. The main pathways include: ^{[8] [9]}

  • Aero Launch: This is the primary permissionless launchpad. It allows any project to create a market by pairing their token with a curated asset (like ETH or USDC) and setting an initial price. The process is designed to be fair and prevent front-running at the start of trading. Key capabilities include:

    • Concentrated Liquidity Integration: Launches occur directly into capital-efficient Concentrated Liquidity (CL) pools.
    • Liquidity Locking: Projects can lock their initial liquidity for a specified duration, serving as a signal of long-term commitment. While locked, liquidity can be added and the position can be staked, but the price range cannot be altered and liquidity cannot be withdrawn.
    • Pre-Launch Deposits and Vesting: A pre-launch phase can be enabled for users to deposit assets, which form the initial liquidity. Tokens allocated to these depositors can be subject to a vesting schedule set by the project to encourage long-term alignment.
    • Emerging Liquidity Designation: Newly launched pools may be discretionarily highlighted with an "emerging" tag across the user interface for increased visibility. These pools can later "graduate" to become eligible for standard AERO emissions without requiring liquidity migration.
    • Partner Pools: Select projects can be designated as "Partner Pools" and receive a dedicated relayer contract. This allows the project to directly offer bribes to veAERO holders to attract votes and direct AERO emissions to its liquidity pool.

  • Aero Ignition: This pathway is designed for community-driven launches that are focused on incentive alignment.

  • Aero Verified: This option provides KYC-enabled pools designed for institutions and projects that require compliance and transparency.

• Integrated veNFT Marketplace: A built-in platform for trading locked AERO positions, which are represented as veAERO NFTs. ^[2]

Ecosystem and Network Strategy

Aero is structured with a "hub-and-spoke" architectural model. The Base network serves as the central hub for the platform's liquidity and operations, a choice intended to leverage Base's connection to Coinbase's user base. ^{[1] [2]}​

From its hub on Base, Aero plans to deploy "spoke" instances on other blockchain networks. At launch, the platform will operate on all chains where its predecessors were active, including OP Mainnet. Planned deployments include Ethereum Mainnet, Arc, Celo, Fraxtal, Ink, Lisk, Metal L2, Mode, Soneium, Superseed, Swellchain, Syndicate, Tea, and Unichain, with the goal of creating a unified liquidity layer across these networks. ^{[5] [2] [7]}​

Tokenomics

The launch of Aero will introduce a single, unified native token for the entire ecosystem, consolidating the AERO token from Aerodrome and the VELO token from Velodrome. ^{[1] [7]}

Distribution and Migration

The new AERO token will be distributed to existing holders of the predecessor tokens through a migration mechanism described as having "no dilution and no new tokens." The allocation split is designed to reflect the revenue share between the two protocols in the 52 weeks prior to the merger announcement. Dedicated migration tools will be provided, and centralized exchanges are expected to manage the token migration for their users. Full documentation on the migration is planned for release in Q1 2026. ^{[2] [6] [7]}

The distribution will be as follows:

• 94.5% will be allocated to holders of Aerodrome's AERO and veAERO tokens.
• 5.5% will be allocated to holders of Velodrome's VELO and veVELO tokens.

This split is based on the pre-merger revenue figures of $260 million for Aerodrome and $15 million for Velodrome over the preceding 52-week period. ^{[4] [2]}

Token Utility and Value Accrual

The new AERO token will serve as the primary asset for governance, rewards distribution, and incentive management across the platform. Users can lock their AERO tokens to receive veAERO (vote-escrowed AERO), which grants them voting power in protocol governance and a claim on the revenue generated by the platform. ^{[3] [2]}

The AERO token is designed to capture 100% of the value from all platform activities and direct it to veAERO holders. Identified revenue streams include:

• Applicable front-end swap fees
• Revenue from internal MEV auctions (via Slipstream V3)
• Cross-chain gas payments
• Fees from liquidity automation and auto-compounding services
• Fees from the integrated veNFT marketplace ^{[2] [7]}

The Momentum Fund

Aero will launch The Momentum Fund, a new initiative that merges the Aerodrome Foundation's previous "Public Goods Fund" and "Flight School" programs. The fund is described as a "coordinated capital engine" for the veAERO network and operates under three core mandates. ^{[2] [7]}

1. Grow: The fund will direct AERO emissions to deepen liquidity for core asset pairs (such as USDC, EURC, and cbBTC) and support new project launches across the Aero network.
2. Stabilize: It will implement a rules-based capital management strategy. This involves building reserves during periods of market strength and deploying them for market-aware AERO token buybacks and burns during downturns. The fund can also purchase locked veAERO tokens to correct market dislocations.
3. Align: The fund will reward high-impact ecosystem contributors, such as developers and researchers, with long-term economic participation through grants of vested veAERO. ^[2]

Benefits of the Aero Platform

The unified Aero platform is designed to provide distinct advantages to different types of users within its ecosystem. ^[7]

For Traders

Traders will be able to execute swaps across any connected blockchain seamlessly. The system automatically routes trades through the most efficient liquidity pools powered by Slipstream V3, aiming to provide the best price without requiring users to manually bridge assets or manage gas tokens on different networks.

For Liquidity Providers

Liquidity providers (LPs) will gain access to a more capital-efficient AMM. They can use the Autopilot tool for auto-rebalancing strategies and one-click liquidity provisioning, and they can access a wider range of liquidity pools across multiple blockchain ecosystems.

For Builders and Projects

Builders and projects launching tokens will have tools for cross-chain discoverability from day one. The platform offers access to liquidity incentives, institutional-grade pool options, and simple SDKs in TypeScript and Python to facilitate integration.

For Token Operators and Voters

For veAERO holders and token operators, the upgrade promises increased protocol revenue via the REV Engine and a more strategic, lower net emissions rate managed by the AER Engine. This allows them to participate in the governance and value accrual of a cross-chain EVM ecosystem.

Key Individuals and Organizations

• Dromos Labs: The core development company behind Velodrome, Aerodrome, and the unified Aero platform. ^[1]
• Aerodrome Foundation: The governing body of the Aero project. ^[2]
• Alexander Cutler: Founder and Chief Executive Officer of Dromos Labs. ^[1]
• Luis A. de la Cerda: Executive Director of the Aerodrome and Velodrome foundations. ^[1]
• Dan Wick: Chief Financial Officer of Dromos Labs. ^[4]
• Tao Watts: Co-founder of Aerodrome. ^[3]

In a statement about the project, Dromos Labs CEO Alexander Cutler said, "Just as the world came online, it is now coming onchain. Aero is at the vanguard of a financial system better, faster, and cheaper than the incumbent.” ^[5]

Luis A. de la Cerda, Executive Director of the foundations, commented on the project's scale, stating, "By linking all of EVM under one token, Aero can operate at a scale no other token has ever reached, concentrating the full power of MetaDEX03 to generate, capture, and coordinate on chain economic activity." ^[1]