Curve Finance Exploit Leads to Correction For Other DeFi Tokens
Curve’s native crypto CRV coin has experienced a 25% drop in value within a span of three days due to a recent hack on the platform. The founder, Michael Egorov, has borrowed over $100 million using CRV as collateral in different crypto lending projects. advertisement The concern arises from the possibility of further CRV declines leading to forced liquidations of the loan positions, potentially causing additional losses. Speaking to Bloomberg, Stefan von Haenisch, head of sales trading at OSL SG Pte in Singapore, said: “If we move lower still and these liquidation levels are hit, we could see a domino effect” across the decentralized finance sector. Curve Finance is the second-largest decentralized exchange currently in the market after Uniswap. However, as per the DeFiLlama data, the amount of crypto using the Curve Finance service has dropped to $1.9 billion from $3.6 billion earlier. Recommended Articles ...