$22M crvUSD Minted Since its Mainnet launch by Curve Finance

Decentralized Finance protocol Curve Finance brings its native algorithmic USD pegged stablecoin crvUSD, & tokens worth $22 Million have been minted so far. Per Etherscan data from May 4, 2023, more than $22 Million crvUSD were minted in the past 8 hours, with around $20 Million in the first 5 minutes.

crvUSD Curving the Curve Finance’s Demography

The deployment of crvUSD on the Ethereum network is a significant step before the public release of the algorithmic stablecoin. They are inaccessible to the general public and will be made available after integrating Curve’s front-end user interface with their official website.

Source: Curve Finance; DefiLlama

The total value locked (TVL) on Curve Finance at press time was $4.39 Billion, and volume change in the last 24 hours was recorded to be $141.73 Million.

Algorithmic stablecoins garnered a lot of bad publicity when Terra Ecosystem collapsed in May 2022. TerraUSD (UST) lost its peg due to an apparent anomaly in the coding. At the same time, the value of Terra (LUNA), which was later rebranded to Terra Classic (LUNC), fell by 99%. UST’s maintained its peg to the U.S. dollar using a complex arbitrage mechanism.

Curve says its algorithmic stablecoin, crvUSD, differs from the now-defunct UST, as it utilizes a design similar to MakerDAO’s stablecoin DAI. Its white paper indicates that crvUSD will function as a “collateralized debt position” stablecoin. However, the preferred asset for collateral is yet to be decided.

In February 2020, Aave (AAVE) released its native decentralized collateral-backed stablecoin, GHO, in a testnet version. A Curve Team member announced plans to release an algorithmic stablecoin via a Tweet on July 21, 2022. On the same date, Curve’s founder Michale Egorov confirmed the release of overcollateralized stable coin at ReDeFine Tomorrow Web3 Summit.

This release created positivity around CRV, and at press time, it was trading at $0.9485 after gaining 4.93% in the last 24 hours. Its market cap gained 5.04% to $770 Million; trading volume jumped by 261.70% to $91.4 Million. Ranking at number 60, it shares a market dominance of 0.06%.

The ROI dropped by 92.68%, and its current value is down by 98.43% from its all-time high of $60.50 achieved on August 14, 2020, and is up by 187.22% from its all-time low of $0.3316 CRV hit on October 25, 2020.

Source: LunarCrush; CRV

In the last seven days, the price change rose by 2.8%, social mentions hiked by 13.9%, and social engagements dropped by 31.2%.

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