Aerodrome

Aerodrome has spent the last two years building itself into the undisputed liquidity backbone of the Base network, and in 2026 it is making an even bolder play with a cross-chain merger that could reshape DeFi trading. We spent several weeks testing swaps, providing liquidity, and voting with veAERO to see whether the hype matches reality. Here is our honest take on what works, what falls short, and who should consider using Aerodrome in 2026.

What is Aerodrome?

Aerodrome is a decentralized exchange built on the Base Layer 2 network, originally launched in August 2023 by Dromos Labs. It was forked from Velodrome, the dominant DEX on Optimism, and adapted specifically for the Base ecosystem with backing from Coinbase Ventures. From the start, Aerodrome was positioned as the official liquidity layer for Base, a designation that gave it a massive head start in attracting total value locked and trading volume.

The protocol uses the ve(3,3) tokenomics model, which combines Curve Finance's vote-escrow mechanism with game theory principles popularized by OlympusDAO. This model aligns the interests of liquidity providers, token holders, and traders through an incentive structure where everyone benefits from cooperation. Users lock AERO tokens to receive veAERO, which grants voting power over liquidity emissions and entitles holders to 100% of swap fees from the pools they vote for.

As of early 2026, Aerodrome has attracted over $1.4B in TVL and processes roughly $200M in daily trading volume, making it one of the highest-revenue DEXes in all of DeFi. The protocol handles over 50% of all swap volume on Base, which is a remarkable concentration of activity for a single exchange on a growing Layer 2 network.

In November 2025, Dromos Labs announced a major restructuring: Aerodrome and Velodrome would merge into a unified platform called Aero, with plans to expand beyond Base and Optimism to Ethereum mainnet and Circle's Arc network in Q2 2026. The new AERO token allocation gives 94.5% to existing Aerodrome holders and 5.5% to Velodrome holders. This merger is powered by the MetaDEX03 engine, a new operating system designed to reduce value leakage and enable efficient cross-chain swaps. The Slipstream V2 upgrade introduced concentrated liquidity capabilities in late 2025, further improving capital efficiency for liquidity providers.

Aerodrome sits at the intersection of two major trends in DeFi: the growth of Base as a mainstream Layer 2, and the maturation of ve(3,3) tokenomics as a governance and incentive model. Whether the cross-chain ambitions succeed remains to be seen, but the foundation is clearly strong.

Features and Functionality

Trading Interface

We found the Aerodrome trading interface clean and functional. The swap page loads quickly on both desktop and mobile browsers, and the token selection modal supports searching by name, symbol, or contract address. During our testing, swaps executed within seconds on Base, which is one of the benefits of trading on a Layer 2 network where block times are fast and gas costs are negligible.

The interface displays the expected output amount, price impact, minimum received amount after slippage, and the routing path before you confirm a swap. You can adjust slippage tolerance manually. One thing we appreciated is that Aerodrome clearly shows which pool your trade routes through, whether that is a volatile AMM pool, a stable pool, or a concentrated liquidity position. This level of transparency is not always available on competing DEXes.

Aerodrome does not currently support limit orders natively, which is a drawback for traders who want to set specific entry points. You can only execute market swaps at the current pool price. For basic swapping needs, the interface does the job well, but more advanced traders may feel limited compared to platforms like dYdX or even Uniswap's newer features.

Supported Markets

Aerodrome supports approximately 800 trading pairs across its various pool types. The exchange offers two main pool categories: volatile pools for uncorrelated token pairs (like ETH/USDC) and stable pools for correlated assets (like USDC/DAI). With the launch of Slipstream in late 2024 and the V2 upgrade in November 2025, Aerodrome also introduced concentrated liquidity pools that allow LPs to allocate capital within specific price ranges, similar to Uniswap V3.

The primary chain is Base, which means all supported tokens must be bridged to or natively deployed on Base. This is both a strength and a limitation. On one hand, the single-chain focus means deep liquidity concentration. On the other hand, users who hold assets on Ethereum mainnet, Arbitrum, or other L2s need to bridge first, which adds friction and cost. The upcoming Aero cross-chain merger aims to address this by connecting liquidity across Base, Optimism, Ethereum, and potentially other chains.

Popular trading pairs include ETH/USDC, AERO/ETH, cbETH/WETH, and various stablecoin pairs. Base has become a hub for memecoins and newer DeFi tokens, and Aerodrome is typically the first venue where these tokens find liquidity.

Liquidity and Pool Depth

With $1.4B in TVL, Aerodrome has some of the deepest on-chain liquidity pools in DeFi outside of Ethereum mainnet. In our testing, we executed a $10,000 ETH-to-USDC swap with a price impact of less than 0.01%, which is excellent. Even for larger trades in the $100,000 to $500,000 range, the major pairs showed price impacts below 0.1%.

The ve(3,3) emissions model is a big reason for this depth. Projects that want liquidity on Aerodrome can post bribes to incentivize veAERO holders to vote for their pools. This creates a self-reinforcing cycle: more bribes attract more votes, more votes direct more emissions, and more emissions attract more LPs, which deepens the pool. During high-activity periods, weekly bribe amounts can reach millions of dollars across all pools combined.

Stable pools for correlated assets like USDC/USDT or USDC/DAI had especially tight spreads in our testing, with virtually no slippage on swaps up to $500,000. For a DEX operating on a Layer 2 network, this is impressive performance.

Advanced Features

The standout feature of Aerodrome is its ve(3,3) governance and incentive system. Users can lock AERO tokens for up to 4 years to receive veAERO, which is represented as an NFT. This veAERO position grants two core benefits: voting power over which pools receive weekly AERO emissions, and the right to collect 100% of swap fees from the pools you vote for, plus any bribes posted by protocols seeking liquidity.

The bribe marketplace is where Aerodrome gets genuinely interesting. Projects that need liquidity post bribes in the form of their native tokens, stablecoins, or ETH to attract veAERO votes. Experienced voters can earn significant yields by strategically voting for pools with the highest combination of fee revenue and bribe rewards. During our testing in early 2026, we observed some pools offering annualized returns exceeding 50-100% for veAERO voters, though these rates fluctuate weekly based on market conditions.

Aerodrome also supports yield farming through its gauge system, where liquidity providers earn AERO token emissions proportional to the gauge weight of their pool. Staking LP tokens in gauges is simple and happens directly through the Aerodrome interface.

The Slipstream V2 concentrated liquidity feature, launched in November 2025, adds another dimension. LPs can now set custom price ranges for their liquidity, which dramatically improves capital efficiency for those willing to actively manage their positions. This is particularly useful for stable pairs where the price stays within a narrow band.

Fees and Pricing

Fee Structure

Aerodrome charges a standard swap fee of 0.30% on most volatile pools, which is split between LPs (0.20%) and the protocol (0.10%). Stable pools typically have lower fees, often 0.01% to 0.05%, since the price difference between correlated assets is minimal. These fees are competitive with other major AMM DEXes, though some competitors offer lower rates on specific tiers.

The protocol fee of 0.10% is directed entirely to veAERO voters. This is a key distinction from DEXes like Uniswap, where protocol fees (when active) go to the treasury rather than token holders. On Aerodrome, if you lock AERO and vote, you directly receive trading fees proportional to the volume of the pools you support.

Gas costs on Base are extremely low, typically ranging from $0.01 to $0.10 per swap. This is one of the major advantages of trading on Base compared to Ethereum mainnet, where a simple swap can cost $5 to $50 depending on network congestion. The low gas costs mean that even small trades of $10 or $20 are economically viable on Aerodrome, which is not the case on Ethereum.

How Aerodrome Fees Compare

Aerodrome's fees are middle-of-the-road for volatile pair swaps. The real savings come from Base's low gas costs, which make Aerodrome significantly cheaper in total cost than trading on Ethereum mainnet through Uniswap. For stable swaps, Aerodrome's rates are highly competitive.

Real-World Cost Examples

Here are some concrete examples from our testing:

1. $100 ETH to USDC swap: 0.30% swap fee ($0.30) + approximately $0.02 gas = $0.32 total cost
2. $1,000 USDC to DAI stable swap: 0.01% swap fee ($0.10) + approximately $0.02 gas = $0.12 total cost
3. $10,000 ETH to USDC swap: 0.30% swap fee ($30.00) + approximately $0.05 gas = $30.05 total cost
4. $50,000 ETH to USDC swap: 0.30% swap fee ($150.00) + approximately $0.05 gas + minimal price impact = roughly $150.10 total cost

Compare this to a $10,000 swap on Uniswap V3 on Ethereum mainnet: 0.30% swap fee ($30.00) + approximately $15 gas = $45 total cost. The gas savings on Base add up quickly, especially for users who trade frequently or in smaller amounts.

Security and Safety

Smart Contract Audits

Aerodrome has been audited by two respected security firms. Spearbit conducted an audit of the core protocol in August 2023, and OpenZeppelin audited the smart contracts in July 2023. Both of these firms are well-known in the blockchain security space, and their involvement lends credibility to the protocol's codebase.

The Slipstream concentrated liquidity feature was also reviewed before its launch, though we recommend checking the official documentation for the most current audit reports, particularly as the protocol evolves toward its Aero cross-chain architecture. New smart contracts introduced with MetaDEX03 and cross-chain functionality will presumably require additional audits.

Security Track Record

As of our review date in February 2026, Aerodrome has not suffered any major exploits or security incidents since its launch in August 2023. This is a meaningful track record for a DeFi protocol managing over $1B in TVL. The protocol has processed billions of dollars in cumulative trading volume without loss of user funds.

That said, the upcoming cross-chain expansion introduces new attack surfaces. Cross-chain bridging and messaging have historically been the source of some of the largest DeFi hacks, so users should monitor the security posture of Aero's cross-chain infrastructure carefully as it rolls out in 2026.

User Protection Features

Aerodrome implements several protective measures. The protocol uses multisig governance, which means no single entity can unilaterally execute changes to the smart contracts. There is a 24-hour timelock on governance actions, giving users time to react to proposed changes before they take effect.

The protocol is fully open source, meaning anyone can review the code on GitHub. There is also a $500,000 bug bounty program that incentivizes white-hat hackers to identify and report vulnerabilities. Coinbase Ventures' investment and Base's endorsement provide additional institutional credibility, though users should always remember that institutional backing does not eliminate smart contract risk.

The veAERO governance system itself acts as a security mechanism in some respects. Because token holders must lock their tokens for extended periods (up to 4 years), the governance participants have a strong financial incentive to act in the protocol's best interest rather than push through malicious proposals.

Getting Started with Aerodrome

Connecting Your Wallet

To start using Aerodrome, visit aerodrome.finance and click the Connect Wallet button in the top right corner. The platform supports MetaMask, Coinbase Wallet, WalletConnect, and several other popular wallets. If your wallet is not already configured for the Base network, Aerodrome will prompt you to add Base automatically.

You will need ETH on the Base network to pay for gas fees. If your ETH is on Ethereum mainnet, you can bridge it to Base using the official Base Bridge at bridge.base.org, or through third-party bridges like Stargate or Across Protocol. Coinbase users can also withdraw ETH directly to Base from their Coinbase account, which is the simplest option.

Making Your First Swap

Once connected, navigate to the Swap tab. Select the token you want to sell in the top field and the token you want to buy in the bottom field. Enter the amount, and Aerodrome will show you the expected output, price impact, and route. Review the details, then click Swap and confirm the transaction in your wallet.

The first time you trade a specific token, you will need to approve it for spending, which is a separate transaction. After that, future swaps with the same token only require one transaction. The whole process typically completes in under 10 seconds on Base.

Providing Liquidity

To provide liquidity, go to the Pools section and find the pair you want to support. Click Deposit, and you will be asked to supply both tokens in the pool's required ratio. For classic volatile pools, you supply a 50/50 value split. For Slipstream concentrated liquidity pools, you can set a custom price range.

After depositing, you receive LP tokens representing your share. To earn AERO emissions, you then need to stake these LP tokens in the pool's gauge. This is a separate step but it is handled directly on the same page. Keep in mind that providing liquidity carries the risk of impermanent loss, especially in volatile pools where the price ratio between the two tokens changes significantly.

User Experience

Desktop Platform

The desktop experience on Aerodrome is polished and responsive. Pages load quickly, and the layout is intuitive even for users unfamiliar with DeFi. The dashboard provides a clear overview of your positions, pending rewards, and voting status. We particularly liked the pool explorer, which makes it easy to sort and filter pools by APR, TVL, volume, and bribe rewards.

The voting interface for veAERO holders is well-designed, showing weekly epoch deadlines, available bribes per pool, and projected yields. It takes some time to understand the system if you are new to ve(3,3) mechanics, but the documentation does a reasonable job of explaining the basics.

One area for improvement is the analytics section. While Aerodrome provides basic volume and TVL data, deeper analytical tools like historical yield tracking and fee breakdown charts would be welcome additions. Third-party tools like DefiLlama fill some of this gap, but having more advanced analytics natively within the Aerodrome interface would benefit power users who want to optimize their strategies without switching between multiple platforms.

Mobile Experience

Aerodrome does not have a dedicated mobile app, but the web interface works well on mobile browsers. We tested it on both iOS Safari and Android Chrome, and the swap and pool interfaces rendered properly. Wallet connection through Coinbase Wallet's mobile app was particularly smooth on Base.

Small screen sizes make the voting and bribe comparison interface a bit cramped, though. If you are an active veAERO voter, you will probably prefer the desktop experience for analyzing bribe yields across dozens of pools.

Customer Support

Aerodrome's primary support channels are Discord and Twitter. The Discord community is active, with team members and experienced community members answering questions regularly. Response times during our testing were reasonable, typically within a few hours for general questions.

The documentation at docs.aerodrome.finance covers the core concepts well, including detailed explanations of the ve(3,3) model, pool types, and the bribe system. For a DeFi protocol, the documentation quality is above average. The audit reports from Spearbit and OpenZeppelin are linked directly from the docs, which adds to the overall transparency.

That said, there is no live chat or ticketing system, which means complex issues may take longer to resolve. For a protocol managing $1.4B in TVL, we would like to see more formal support channels, perhaps including a dedicated help desk or at minimum a comprehensive FAQ section within the app itself. Community-driven support through Discord works well for most questions, but it is not a replacement for professional support when significant funds are at stake.

Aerodrome vs Competitors

Aerodrome vs Uniswap on Base: Uniswap is the largest DEX globally by brand recognition, but on Base specifically, Aerodrome dominates in TVL and volume. Aerodrome's ve(3,3) model creates stickier liquidity through emissions incentives, while Uniswap relies on organic fee revenue to retain LPs. If you are trading exclusively on Base, Aerodrome typically offers better liquidity and lower slippage for the most popular pairs.

Aerodrome vs Velodrome on Optimism: These two share the same codebase and will soon merge into Aero. Velodrome pioneered the ve(3,3) approach on Optimism but has significantly less TVL. The merger should benefit Velodrome holders by connecting them to Aerodrome's larger liquidity pool. If you are choosing between the two today, Aerodrome offers more depth and higher bribe yields.

Aerodrome vs SushiSwap: SushiSwap offers multi-chain support and a broader feature set including some lending and cross-chain swap capabilities. However, it lacks the ve(3,3) governance model and has lower TVL on any individual chain compared to Aerodrome on Base. For users who need multi-chain access, SushiSwap may be more convenient, but for Base-focused trading, Aerodrome is the clear winner.

One broader observation is that Aerodrome's ve(3,3) approach has proven more effective at bootstrapping and retaining liquidity than the traditional liquidity mining models used by many competitors. The bribe economy creates a sustainable demand loop that protocols like SushiSwap have struggled to replicate. Whether this advantage persists as the Aero merger introduces cross-chain complexity is a question worth watching closely in 2026.

Who Should Use Aerodrome?

Aerodrome is best suited for several types of users. Active DeFi participants who hold tokens on the Base network will find it the most liquid and cost-effective venue for swapping and providing liquidity. Yield farmers looking for strong APR opportunities will benefit from the AERO emissions system and the ability to earn bribes as veAERO voters.

Protocol teams and DAOs seeking to bootstrap liquidity for their tokens on Base should consider Aerodrome's bribe marketplace, which offers a proven mechanism for attracting deep liquidity at competitive costs. Long-term DeFi investors who want to earn passive income from swap fees and bribes may find the veAERO locking model appealing, provided they are comfortable with multi-year lock-up periods.

Aerodrome is not ideal for beginners who are unfamiliar with DeFi concepts. The ve(3,3) system, bribe mechanics, and gauge voting require a learning curve that takes real effort to understand. If you are new to DeFi, you might want to start with a simpler platform and return to Aerodrome once you are comfortable with concepts like impermanent loss, LP tokens, and governance voting.

It is also not ideal for traders who need cross-chain access today, since the platform is currently limited to Base. Users on Ethereum, Arbitrum, or Optimism cannot trade on Aerodrome without first bridging their assets. This extra step adds friction and sometimes a few dollars in bridging fees. Users concerned about AERO token inflation should note that the emissions schedule creates ongoing selling pressure, which can affect the token's price over time. The total supply of 500,000,000 AERO tokens, with 450,000,000 already in circulation, means new emissions continually enter the market. The ve(3,3) locking mechanism helps absorb some of this supply, but it remains a factor to consider for long-term token holders.

Frequently Asked Questions

What is ve(3,3) tokenomics and how does it work on Aerodrome?

ve(3,3) combines Curve's vote-escrow model with OlympusDAO's game theory. On Aerodrome, you lock AERO tokens for up to 4 years to get veAERO, which lets you vote on which pools receive emissions. Voters earn 100% of swap fees from their chosen pools plus any bribes posted by projects. The model incentivizes long-term holding and active governance participation.

How much does it cost to trade on Aerodrome?

Swap fees are 0.30% on volatile pools and 0.01-0.05% on stable pools. Gas fees on Base are extremely low, typically $0.01 to $0.10 per transaction. A $1,000 trade on a volatile pool costs roughly $3.02 in total fees, which is significantly cheaper than the same trade on Ethereum mainnet.

Is Aerodrome safe to use in 2026?

Aerodrome has been audited by Spearbit and OpenZeppelin, has a $500,000 bug bounty program, uses multisig governance with a 24-hour timelock, and is open source. The protocol has had no major exploits since its 2023 launch. However, all DeFi protocols carry inherent smart contract risk, and the upcoming cross-chain features introduce new considerations.

What is the Aero merger and how does it affect Aerodrome users?

In November 2025, Dromos Labs announced that Aerodrome and Velodrome would merge into a unified platform called Aero. Existing AERO holders receive 94.5% of the new token supply. The merger aims to connect liquidity across Base, Optimism, Ethereum, and Circle's Arc network, significantly expanding the protocol's reach.

Can you earn passive income on Aerodrome?

Yes, there are multiple ways to earn on Aerodrome. Liquidity providers earn swap fees and AERO emissions by depositing tokens in pools and staking in gauges. veAERO holders earn 100% of swap fees from pools they vote for, plus bribe rewards from protocols seeking liquidity. Some voters report APRs exceeding 50-100% during high-volume periods.

How do bribes work on Aerodrome?

Projects post bribes in tokens or stablecoins to incentivize veAERO holders to vote for their pools. When you vote for a bribed pool, you earn both the pool's swap fees and the bribe rewards. This creates a competitive marketplace where protocols compete for emissions by offering the best incentives to voters.

Does Aerodrome support any chains besides Base?

Currently, Aerodrome operates exclusively on the Base network. However, with the Aero merger announced in late 2025, the protocol plans to expand to Optimism, Ethereum mainnet, and Circle's Arc blockchain in Q2 2026. The MetaDEX03 engine is designed to enable cross-chain swaps and unified liquidity.

What wallets work with Aerodrome?

Aerodrome supports MetaMask, Coinbase Wallet, WalletConnect, and other EVM-compatible wallets. Coinbase Wallet offers the smoothest experience since Base is a Coinbase-incubated network. You will need ETH on Base for gas fees.

Final Verdict

Aerodrome has earned its position as the dominant DEX on Base through a combination of strong tokenomics, institutional backing, and deep liquidity. With $1.4B in TVL, sub-cent gas costs, and a well-functioning ve(3,3) governance system, it delivers on its promise as Base's central liquidity hub. Our testing confirmed that swap execution is fast, slippage is minimal on major pairs, and the bribe marketplace creates genuine earning opportunities for committed participants.

The main drawbacks are the single-chain limitation (being addressed with the Aero merger), the complexity of the ve(3,3) system for newcomers, and ongoing AERO emissions that create token selling pressure. The platform also lacks limit orders and some advanced trading features that more sophisticated traders expect.

We rate Aerodrome an 8.7 out of 10 for 2026. It is the best option for anyone trading or providing liquidity on Base, and the upcoming cross-chain expansion could make it a serious contender on a much larger stage. If you are active in DeFi and willing to learn the ve(3,3) mechanics, Aerodrome offers one of the more rewarding experiences available in decentralized trading today.