Traders turn to USDT as BUSD dominates heavily imbalanced Curve liquidity pool
Curve pool’s Binance USD (BUSD) V2 pool is highly unbalanced and crypto traders prefer Tether’s USDT.
BUSD V2 Dashboard It shows that the stablecoin in question accounts for about 81% of the pool’s $12.85 million reserves, while USDT accounts for 4%. Other stablecoins in the pool — USD Coin (USDC) and DAI — make up the rest.
Crypto analysis tool Chaineye Said BUSD’s dominance jumped from 68.3% to 79.1% on February 13, following regulatory action against stablecoin issuer Paxos. Tom Wan, a research analyst at 21 Shares, said: Added Its BUSD liquidity has decreased by $3 million.
On the other hand, let’s take a look at 3Pool Dashboard — Curve’s largest liquidity pool — shows that crypto investors prefer USDT over other stablecoin options. At the time of writing, USDT accounts for 21.47% of reserves, USDC 38.39%, and DAI 40.12%, according to the dashboard.
Some analysts expressed We are concerned that recent regulatory actions may affect USDC issuer Circle. However, Markus Thielen, Head of Research at Matrixport, said: crypto slate He does not believe that regulators are directly targeting stablecoins.
Curb Volume Spike
Meanwhile, according to DeFillama, Curve’s trading volume surged 900% to surpass $1 billion amid the growing stablecoin wars. data.
This is one of the protocol’s highest trading volumes, below what was recorded during the height of FTX’s implosion in November 2022.
Curv Finance has also entered the stablecoin scene with an over-collateralized crvUSD dollar-pegged digital asset. The DeFi protocol is white paper Last year’s property, the community Are expected its issuance.
Curve’s CRV token is back to its current level of $1.07 at the time of writing, after gaining about 14% over the past 24 hours and rising to $1.09, Curve said. crypto slate data.
