According to DefiLlama, trading volume on decentralized finance platform Curve Finance rose 896.12% in the past 24 hours to over $1 billion. It was not only the highest for the platform this year, but also the third highest in history, behind only the collapse of FTX and the Magic Internet Money (MIM) drama.
This time, the trigger for a ninefold increase in trading volume on Curve Finance was a court investigation initiated by the Securities and Exchange Commission against BUSD, aka Binance USD. Associated with one of the world's largest crypto exchanges, the stablecoin fell foul of the regulator, which suddenly decided to declare it an unregistered security and prohibit the issuer, represented by Paxos, from minting new tokens.
When crvUSD?
Curve Finance, on the other hand, as probably the largest decentralized platform, aggregates all sorts of stablecoins and allows for on-site farming of yield from them. In addition, Curve has its own algorithmic stablecoin, crvUSD, in development.
crvUSD is expected to hit the market shortly, as the code and white paper for the stablecoin were published at the end of November last year. It is known that Curve's "dollar" will be powered by the innovative Lending-Liquidating AMM algorithm, which will constantly liquidate and sell collateral to manage risk.