Aerodrome Finance: The Leading DEX on Base with ve(3,3) Model

Aerodrome Finance is a decentralized exchange (DEX) and liquidity hub built on Base, the Layer 2 blockchain incubated by Coinbase. It combines traditional AMM functionalities with ve(3,3) tokenomics, inspired by Solidly and Velodrome, to create incentive-aligned liquidity provisioning and governance.

Since its launch, Aerodrome has quickly become the go-to DEX on the Base network, enabling efficient swaps, concentrated liquidity, and protocol-owned liquidity (POL) strategies.

What Is Aerodrome Finance?

Aerodrome is a next-generation automated market maker (AMM) that rewards long-term governance participation while maintaining deep and sustainable liquidity. It leverages a ve(3,3) model, where users lock their native token, $AERO, to receive veAERO (vote-escrowed AERO) and control the distribution of liquidity incentives.

By merging AMM design with incentive mechanics, Aerodrome empowers protocols and users to direct emissions to pools that matter most, creating a mutually beneficial flywheel.

Key Highlights:

• Built on Base, offering low fees and high scalability
• Based on Solidly/Velodrome-style AMM design
• Utilizes ve(3,3) tokenomics for governance and emissions
• Enables protocol-owned liquidity and bribes

How Aerodrome Works

Aerodrome’s architecture focuses on two core components: liquidity pools and governance-driven emissions.

1. Liquidity Pools

• Two main types:
  • Volatile Pools: For non-correlated assets (e.g., ETH/USDC)
  • Stable Pools: For correlated pairs (e.g., USDC/DAI)
• Offers low slippage and efficient routing
• Aggregated by Base-native DeFi projects and wallets

2. ve(3,3) Tokenomics

• Users lock $AERO for veAERO, which grants:
  • Voting rights on which pools receive emissions
  • Bribes from protocols incentivizing votes
  • Fee share from voted pools

This model aligns long-term stakeholders with the success of the protocol and allows DeFi protocols to acquire liquidity via bribes instead of diluting token supply.

Benefits of Using Aerodrome Finance

Whether you're a trader, liquidity provider, or DAO treasury manager, Aerodrome offers several distinct advantages:

For Traders

• Low fees on Base chain
• Efficient swaps between volatile and stable assets
• Fast transactions and low latency

For Liquidity Providers

• Earn trading fees + AERO emissions
• Choose between stable or volatile pools
• Boost rewards by participating in governance

For Protocols/Projects

• Use veAERO bribes to direct emissions to key pools
• Acquire protocol-owned liquidity in a sustainable way
• Build on Aerodrome with Base-native composability

Aerodrome vs Other DEXs

FeatureAerodrome FinanceVelodromeUniswap V3Curve FinanceChainBaseOptimismMultichainEthereum, L2sTokenomicsve(3,3)ve(3,3)NoveCRVGovernance Emissions ControlYesYesNoYesBribe MechanismYesYesNoYes (via Votium)Concentrated LiquidityNoNoYesNo

How to Use Aerodrome

Aerodrome’s UI is intuitive and designed for both newcomers and advanced DeFi users.

Step-by-Step Guide:

1. Visit the App: https://aerodrome.finance
2. Connect your wallet: MetaMask, Coinbase Wallet, or WalletConnect
3. Bridge funds to Base: Use https://bridge.base.org
4. Swap tokens: Choose a pool and confirm transaction
5. Provide liquidity: Stake in pools and earn $AERO
6. Lock AERO for veAERO: Vote on pools and earn bribes and fees

The Role of $AERO and veAERO

The native token of Aerodrome is $AERO, and it serves multiple purposes within the ecosystem.

Utility of $AERO:

• Incentivizes liquidity through emissions
• Locked as veAERO for governance rights
• Used to claim bribes and trading fees
• Aligns token holders with long-term protocol value

veAERO holders can vote on pool weightings weekly, directing AERO emissions and shaping the liquidity landscape on Base.

Aerodrome Ecosystem & Integrations

Aerodrome is designed to be interoperable with Base-native applications and evolving DeFi primitives.

Ecosystem Highlights:

• Integrates with Base-native DApps like RocketSwap, Stargate, and Compound V3
• Bribe markets supported by tools like Warden and Hidden Hand
• Used by DAOs for liquidity mining strategies

Resources & External Links

Explore more about Aerodrome and the Base ecosystem:

• 🌐 Aerodrome Official Website
• 📊 Aerodrome Dashboard
• 📚 Aerodrome Docs
• 🐦 Aerodrome on Twitter
• 💬 Aerodrome Discord
• 🔍 AERO on CoinGecko

Final Thoughts

Aerodrome Finance is a powerful, Base-native DeFi protocol that combines smart AMM design with innovative ve(3,3) governance. It offers deep liquidity, strong incentives, and efficient trading while maintaining full decentralization and composability on one of Ethereum’s most promising L2s.

If you’re building on Base, trading assets, or managing liquidity — Aerodrome is the gateway to sustainable, decentralized finance.