A Detailed Explanation Of Curve-DAO
- Curve is a decentralised exchange made for stable coins that uses Curve.fi, a AMM for maintaining liquidity.
- The Curve network is secured through the AMM, impermanent loss and Yield Farming.
- The top exchanges for trading in Curve DAO are Binance, OKEx, CoinTiger, and FTX.
Often seen topping the charts as the largest decentralised exchange in terms of volume, Curve is the fourth largest DeFi protocol. However, it is less popular as compared to Maker and Uniswap. Curve uses AMM(Automated Market Maker) called Curve.fi, which lets users do the trading of stable assets from a pool of money instead of searching for buyers and sellers. Even on days when no one is selling, you can complete the trade.
CurveDAO is used in many dApps including 1inch and Compound.
Russian Scientist, Michael Egorov is the founder of the Curve had diverse experience in the crypto ecosystem.
He is currently the CTO of NuCypher, which he co-founded in 2015 and is a privacy-preserving application infrastructure.
Egorov also founded LoanCoin, a decentralized bank, and loans network.
Launched in Jan 2019, the focus of the decentralized exchange was on the efficiency of the platform rather than the price. At the time of its start, curve finance created a pool of stable coins so that they could avoid a slippage fee. However, as time went on and investors started liking the idea. Then, other currency tokens such as Ethereum and Bitcoin were added and the investors could earn money by using their coins.
Curve Finance is basically a DAO where you interact with a meta mask. It has token holders instead of the corporate board. The token holders vote for the changes of the protocol and also get to hire the new developers.
Money can be earned in AMM through these processes:
Yield Farming is the action of investing in something and then expecting a decent return.
Impermanent Loss is the money that you lose when the prices change after you deposit tokens into a liquidity pool.
At the time of writing, the Market Cap of Curve DAO is $1,631,819,193 and its price is $3.76
Crypto.com Exchange, Binance, OKEx, CoinTiger, and FTX are currently the top cryptocurrency trading exchanges in Curve DAO.
Over the few weeks, the Curve DAO has turned bullish.
CRV, a governance token for Curve Finance, is available against fiat currency, cryptocurrency and stable coin and is a freely tradable token.
Every time you deposit the native tokens in a liquidity pool, CRV is what you get in return in addition to interest and fees.
CRV can be bought on major exchanges such as OKEx and Huobi Global.