So far, Curve DAO has been seeing enormous gains at the start of the month as CRVUSD, Curve\u2019s native stablecoin, gains significant traction in users. <\/p>\n
According to recent<\/a> data posted by Curve DAO\u2019s official Twitter page, the stablecoin has reached a supply and debt level of over $50 million, which indicates that the stablecoin is being used heavily just after two months after its launch.<\/p>\n CRVUSD now joins the growing number of stablecoins available in the industry. However, another tense moment in the crypto market occurred last month.<\/p>\n Some graphs pic.twitter.com\/lHnNw6Cej1<\/a><\/p>\n \u2014 Curve Finance (@CurveFinance) July 1, 2023<\/a><\/p>\n Just last month, Tether\u2019s USDT depegged, prompting serious fears of another collapse on the horizon. According to some sources, it was mostly caused by an imbalance within Curve DAO\u2019s Curve 3Pool. This small imbalance caused a 70% surge in USDT\u2019s balance which indicated a significant sell-off.<\/p>\n In an interview with Tether CTO Paolo Ardoino, he emphasized Tether\u2019s role as \u201ca gateway to liquidity\u201d and how Tether is solid. He also puts confidence in USDT by saying that \u201cthese events are a good test for us.\u201d<\/p>\n Meanwhile,\u00a0there is virtually no fear, uncertainty, or doubt surrounding CRVUSD, thanks to the ecosystem\u2019s innovative utilization of LLAMMA\u2014an exclusive algorithm designed specifically for CRVUSD.<\/p>\n\n In a Twitter thread<\/a> created by Poopman DeFi<\/a>, LLAMMA uses a concept known as soft liquidation. The user must first deposit sfrxETH as collateral to borrow CRVUSD at an overcollatelrized ratio of 117%. LLAMMA<\/a> then uses the price fluctuations of the two assets to rebalance the ratio between the two.<\/p>\n crvUSD is the most hard-core stablecoin to ever exist.<\/p>\n Instead of facing full liquidation when borrowing CDPs,<\/p>\n crvUSD introduced LLAMMA , an algo that use soft liquidation to reduce impermanent loss during huge liquidation.<\/p>\n A very in-depth thread on crvUSD by @CurveFinance<\/a>pic.twitter.com\/lnY5TJKV6V<\/a><\/p>\n \u2014 Poopman , – DeFi Rookie (@poopmandefi) July 2, 2023<\/a><\/p>\n The collateral is then spread over a band, which is basically a price range which the collateral will be spread upon. This reduces CRVUSD\u2019s exposure to Ethereum while gaining the upside if ETH\u2019s price pumps. <\/p>\n According to recent sources, Frax Finance\u2019s sfrxETH is currently the only supported collateral by the system with more assets to be onboarded in the future.<\/p>\n\n Bulls Lead The Way, But Can They Sustain The Momentum?<\/p>\n At the time of writing, CRV price was at $0.799, up nearly 5% in the last 24 hours. The token registered an impressive 17.3% rally i<\/a>n the last seven days, data from crypto market tracker Coingecko shows.\u00a0<\/p>\n CRV is currently facing resistance at the $0.817 price level. With its present momentum, we might see a bullish breakthrough next week or even earlier.\u00a0<\/p>\n This will provide the bulls leverage for another price pump in the near future. However, failing to break through this level will require CRV to stabilize above or below $0.712.\u00a0<\/p>\n (This site\u2019s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).<\/em><\/p>\n Featured image from PortalCripto<\/em><\/p>","protected":false},"excerpt":{"rendered":" <\/p>\n So far, Curve DAO has been seeing enormous gains at the start of the month as CRVUSD, Curve\u2019s native stablecoin, gains significant traction in users. <\/p>\n According to recent<\/a> data posted by Curve DAO\u2019s official Twitter page, the stablecoin has reached a supply and debt level of over $50 million, which indicates that the stablecoin is being used heavily just after two months after its launch.<\/p>\n CRVUSD now joins the growing number of stablecoins available in the industry. However, another tense moment in the crypto market occurred last month.<\/p>\n Some graphs pic.twitter.com\/lHnNw6Cej1<\/a><\/p>\n \u2014 Curve Finance (@CurveFinance) July 1, 2023<\/a><\/p>\n Just last month, Tether\u2019s USDT depegged, prompting serious fears of another collapse on the horizon. According to some sources, it was mostly caused by an imbalance within Curve DAO\u2019s Curve 3Pool. This small imbalance caused a 70% surge in USDT\u2019s balance which indicated a significant sell-off.<\/p>\n In an interview with Tether CTO Paolo Ardoino, he emphasized Tether\u2019s role as \u201ca gateway to liquidity\u201d and how Tether is solid. He also puts confidence in USDT by saying that \u201cthese events are a good test for us.\u201d<\/p>\n Meanwhile,\u00a0there is virtually no fear, uncertainty, or doubt surrounding CRVUSD, thanks to the ecosystem\u2019s innovative utilization of LLAMMA\u2014an exclusive algorithm designed specifically for CRVUSD.<\/p>\n In a Twitter thread<\/a> created by Poopman DeFi<\/a>, LLAMMA uses a concept known as soft liquidation. The user must first deposit sfrxETH as collateral to borrow CRVUSD at an overcollatelrized ratio of 117%. LLAMMA<\/a> then uses the price fluctuations of the two assets to rebalance the ratio between the two.<\/p>\n crvUSD is the most hard-core stablecoin to ever exist.<\/p>\n Instead of facing full liquidation when borrowing CDPs,<\/p>\n crvUSD introduced LLAMMA , an algo that use soft liquidation to reduce impermanent loss during huge liquidation.<\/p>\n A very in-depth thread on crvUSD by @CurveFinance<\/a>pic.twitter.com\/lnY5TJKV6V<\/a><\/p>\nMajor Hiccup In The Stablecoin Industry<\/h2>\n
LLAMMA: How Does It Work?<\/h2>\n
Major Hiccup In The Stablecoin Industry<\/h2>\n
LLAMMA: How Does It Work?<\/h2>\n