Defi And Curve: An Invincible Duo Worth Your Time, Effort, And Definitely Your Asset


Decentralized finance or DeFi has become a reliable platform where the utilization of their associated yields has gotten the users to indulge in DeFi earn. After garnering a unique reputation across traditional finance, yield farming using DeFi and its associates can help you gain 100 times higher than the rates offered from bonds, saving accounts, or deposits of any sort.

How Is It Unique And Advanced?

It is quite a statement that is hard to follow, but the protocols such as peer-to-peer lending, trading, and insurance strategies make the process safe.  It removes the middleman and conducts the whole business efficiently in the following way.

  • Curve, an associate of DeFi, allows any user to make a market and get the chance to indulge in Defi Earn from token swaps.
  • Compound allows the users to give any collateralized loans to any other individual. By doing so, they will earn a high amount of borrow-interest.

In addition, the protocols have been extremely flexible by giving away their governance tokens. These tokens themselves hold rights to a small number of protocol earnings. Also, most of the prominent protocols have decided to give token holders a fair share in the responsibility to regulate the plans, projects, upgrades, and offering themselves. One of the examples of such phenomena is Curve DAO and its native time CRV. They play an active role in the protocol as well as in the DeFi universe.

Understanding Curve DAO

The curve has always been the underdog. It deserves much recognition and action considering the major role it plays in the Defi across multiple blockchains. There is a recent shift noticed in tokenomics. This led its native token, CRV, to become net deflationary. As a result, the price has gone up 122%. To understand the system of Curve, one has to know what Curve does and how it does it.

The curve is normally a decentralized exchange. It is known to many users for its ability to do pegged-asset swaps like fiat-pegged stable coins. In addition to that, it can trade assets at a 1-1 ratio. Having over $3 billion in deposits, the larger pool of Curve is known to us as 3pool. It contains DAI, USDC, and USDT. Moreover, one has to know that it has gained traction offering high liquidity and low fees.

Curve and Defi

The dynamic abilities of the CRV token, as well as the ecosystem, have made the undertaking an attractive building block. Not only that, but it has attracted several other DeFi projects as well. Those are Yearn and Convex. We can call these two programs the “yield optimizers”. What it does is rotate the assets between the curve pools.

In addition to that, it looks forward to efficiently removing the complexities present in the CRV token. So, in short, both the protocols allow the users to put forth Curve liquidity positions, which we know as LPs, or CRV into the vaults. You know the next part. As a result, your vault then will harvest rewards. How? By compounding the LP position and investing in CRV to optimize the yields again.

Ending note:

If you are looking forward to easily indulging in defi earn, investing in Yield farming is the smartest way to go.