Binance Backs Curve with $5M as DeFi Protocol Eyes BNB Chain Integration

Binance Labs announced a $5 million strategic investment in Curve DAO Token, according to an August 10 announcement.

We invest in @CurveFinanceThe CRV token with our full commitment to collaborate with the protocol and shape the future of the DeFi sector together.

Read more👇https://t.co/39q08pqwUF

– Binance Labs Fund (@BinanceLabs) August 10, 2023

Currently, Curve is strengthening its position as the leading stable swap and claims the title of the second largest decentralized exchange in the world. Its credentials are further bolstered by an impressive $2.4B total value locked and a robust $215M daily trading volume:

Offering more than low fees and reduced slippage, Curve’s platform enables smooth ERC-20 token exchanges. In addition, its utility token, CRV, plays an important role in streamlining the exchange of stablecoins and facilitating staking, scaling and management processes.

Yi He, co-founder and head of Binance Labs at Binance, shed light on the rationale behind the investment, saying, “Curve is the largest stablewap, and as an important DeFi protocol it contributes to steady growth in the space of 2023. Given the recent events affecting the protocol, Binance Labs offers our full support to Curve through our investment and strategic collaboration.

This collaboration may not be limited to monetary support. Curve “serves as the foundational layer of DeFi,” and whispers suggest an imminent deployment of the BNB Chain. Such a transition will undoubtedly boost BNB Chain’s DeFi footprint.

Michael Egorov, Curve’s founder, echoed these sentiments, saying, “BNB Chain has gained a significant presence in DeFi, and is well positioned to deploy Curve’s now and in the future.” product of its chain.”

This comes after a tumultuous week for Curve after vulnerabilities in the Vyper programming language left it exposed to significant hacks. These flaws in certain versions of Vyper led to several liquidity pools being compromised, resulting in a staggering loss of over $47 million.

While CRV has seen its value plummet, a centralized price feed from Chainlink has helped prevent a general catastrophe, maintaining CRV’s price at around $0.60.

Amidst the turmoil, Curve’s founder, Michael Egorov, is grappling with a $100 million debt on CRV, or 47% of the total in circulation, raising concerns about CRV’s liquidity and potential foreclosures. across the DeFi sector almost never see melting events like a black swan event.