Aerodrome's AERO gains 48% in 30 days ahead of Oct. 21 Velodrome merger
In brief
- AERO climbed roughly 48% in 30 days, outpacing Bitcoin and Ether, according to The Defiant.
- Aerodrome and Velodrome plan to begin merging on October 21 at 8:00 p.m. ET.
- Aerodrome stakeholders get 94.5% of new supply; Velodrome stakeholders get 5.5%.
- Combined total value locked came to around $422 million as of October 9, Crypto Briefing reported.
What the merger involves
The two protocols plan to begin the combination on October 21 at 8:00 p.m. ET, folding both exchanges into a single new protocol called Aero that's designed to run across multiple EVM chains. Here's how the token math works under the announced terms. Existing AERO converts to the new AERO at 1:1. VELO holders get about 0.044 new AERO per token.
The split isn't close to even. Of the new supply, 94.5% goes to Aerodrome stakeholders and 5.5% to Velodrome stakeholders, and legacy token emissions will stop as part of the transition.
Governance changes too. After the merger, sAERO holders will see real-time reward allocation replace the current weekly voting system (with 100% of protocol revenue directed to participants). The merger pitch puts the combined protocol's addressable market at over $63 billion across EVM ecosystems, up from a previous $7 billion. That's the protocols' target, not a measured figure.
Liquidity and price
Aerodrome holds about $393 million in total value locked on Base, according to Crypto Briefing, which places broader estimates between $390 million and $411 million as of early October (most of it on Base). Add Velodrome and the combined TVL comes to around $422 million as of October 9.
AERO traded between $0.68 and $0.84 in early October. Crypto Briefing's read is that traders appear to be positioning ahead of the merger.
A delayed timeline
The deal didn't arrive on schedule.
It was first revealed in November 2025 and initially targeted for Q2 2026, before the date moved to October 21. Aerodrome itself launched on Base in late August 2023 and became a top liquidity hub on the network, driven by fee mechanisms and vote-escrowed tokenomics (a design where users lock tokens for a period in exchange for governance power and a share of rewards). For sAERO holders, the weekly voting system is the part that's set to change.
Frequently asked questions
How will AERO and VELO tokens convert in the Aerodrome-Velodrome merger?
Under the announced terms, existing AERO converts to the new AERO at a 1:1 ratio. VELO holders receive about 0.044 new AERO per token. Of the new supply, 94.5% goes to Aerodrome stakeholders and 5.5% to Velodrome stakeholders.
When does the Aerodrome and Velodrome merger start?
The combination is scheduled to begin on October 21, 2026, at 8:00 p.m. ET. The merger was first revealed in November 2025 and initially targeted for Q2 2026 before the date moved.
What changes for sAERO holders after the merger?
After the merger, sAERO holders will receive real-time reward allocation in place of the current weekly voting system. The protocols say 100% of protocol revenue will be directed to participants, and legacy token emissions will stop as part of the transition.
What is vote-escrow tokenomics?
Vote-escrow is a design in which users lock tokens for a period in exchange for governance power and a share of rewards. Aerodrome used vote-escrowed tokenomics and fee mechanisms to become a top liquidity hub on Base after launching in late August 2023.
