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]}​

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. 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]}​

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: This mechanism is designed to capture and internalize ancillary revenue streams from platform activities. It is projected to increase overall protocol revenue by 40%. ^{[4] [6]}
• AER Engine: An efficiency-focused mechanism projected to reduce the protocol's operating costs by approximately $34 million annually. ^{[4] [6]}

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 liquidity model, which embeds a Maximal Extractable Value (MEV) auction directly into the Automated Market Maker (AMM). This allows the protocol to capture and internalize revenue that is typically extracted by external arbitrage bots and centralized sequencers. ^{[1] [5]}
• Metaswaps: A cross-chain trading feature that abstracts away technical complexities for the user. It enables 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]}
• Autopilot: An automated yield and portfolio management tool. It allows liquidity providers to create optimized, auto-rebalancing liquidity positions. For token holders, it automates the process of locking tokens for governance, claiming rewards, and compounding assets. ^[2]
• 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: A suite of options for new projects to launch their tokens on the platform, divided into three tiers:
  • Aero Launch: For permissionless liquidity pools that can begin earning trading fees immediately.
  • Aero Ignition: For community-driven launches focused on incentive alignment.
  • Aero Verified: For KYC-enabled pools designed for institutions requiring compliance and transparency. ^[2]
• 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. The initial expansion targets include the Ethereum mainnet and Circle's institutional Layer-1 blockchain, Arc. Other planned deployments include Syndicate and the broader EVM ecosystem, with the goal of creating a unified liquidity layer across these networks. ^{[5] [2]}​

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]

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. ^{[2] [6]}

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:

• Swap fees from the DEX
• Fees from front-end trade routing
• Revenue from internal MEV auctions (via Slipstream V3)
• DEX aggregation fees
• Cross-chain bridging fees
• Fees from liquidity automation and auto-compounding services
• Fees from the integrated veNFT marketplace ^[2]

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]​

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]

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]