Aero unified token launch and Aerodrome/Velodrome merger go-live

On October 22, 2026 at 08:00, emissions from Aerodrome and Velodrome stop and the unified Aero token goes live simultaneously on seven chains. The event involves the AERO and VELO tokens.

What is happening

The unified Aero token launches in sync on Base, Ethereum Mainnet, OP Mainnet, Arc, Ink, Arbitrum and Robinhood Chain. Old AERO converts to new AERO at 1:1, while 1 VELO exchanges for 0.044 new AERO. New token holders are expected to be roughly 94.5% Aerodrome holders and 5.5% Velodrome holders. Self-custodied tokens must be upgraded manually through the official upgrade portal, and the process is irreversible; tokens held on exchanges are converted automatically by the platform.

The ve(3,3) model is replaced by staking. veAERO and veVELO convert to sAERO with remaining lock durations preserved and rounded up to the nearest full week; permanent locks become the maximum staking period, and staking cannot be unwound before expiration. sAERO no longer rebases and is transferable. Weekly voting gives way to Predictive Allocation, in which rewards flow continuously to all pools and sAERO holders can adjust allocations several times a week, initially with a 47-hour interval between adjustments per position. The first allocation under this system starts on October 23 at 0:00, and sAERO staked before then earns rewards from that round.

Emissions are also tied to revenue. Gauge Caps limit each pool's rewards to its projected revenue, with a long-term goal of about 1.2 times projected revenue across the exchange; AERO above the cap is not minted, and rewards are minted only when claimed. Aero estimates the current annual issuance at about 11% of supply, or about 8% when capped at 1.2 times current revenue, with an annualized inflation cap of 20%. Slipstream pools add dynamic fees, and an MEV tax is to be introduced gradually. Pools on Celo, Fraxtal, Soneium and Unichain stay tradable but no longer receive AERO incentives, and Lisk deposits must be withdrawn by October 31.

Why it matters

For holders, the launch changes how tokens are held and rewarded: self-custody holders must act through the upgrade portal, locks become sAERO positions, and emissions become linked to protocol revenue rather than a fixed schedule. According to Aero, the two protocols together have generated about $580 million in revenue, almost all of it on Base, and the expansion to seven chains is meant to broaden that base.

For traders and liquidity providers, the new reward rules, the 0% platform fee for unstaked LPs on Ethereum Mainnet, Arbitrum and Robinhood Chain (5% on the other four chains), the Metaswaps cross-chain swap feature and the changed incentives on older chains may affect where liquidity is placed. LPs that withdraw before the minimum staking period forfeit their rewards.

Key details

• Date: October 22, 2026, 08:00
• Project: Aero (Aerodrome & Velodrome)
• Coins: AERO, VELO
• Category: Product Release
• Status: Confirmed
• Source: KuCoin News (kucoin.com/news/flash/aero-launches-after-merger-replaces-ve-3-3-model-with-predictive-allocation)