Curve intends to be a decentralized exchange (DEX) for
stablecoins that uses an automated market maker (AMM) to manage liquidity. Founded in January 2021, Curve stands for decentralized financial phenomena and experienced tremendous growth in the second quarter of 2021. In August, Curve launched a decentralized autonomous organization (DAO), with CRV as the native token. This DAO uses Aragon, an Ethereum-based creation tool, to connect multiple smart contracts used to manage the user’s liquidity.
With the launch of DAO and CRV tokens, this network brought additional profitability, as CRV is used for governance and assigned to users based on liquidity commitment.
In addition, Curve serves anyone involved in DeFi activities such as yield farming and liquidity mining, and those looking to maximize risk-free returns by holding theoretically non-volatile stablecoins.
CRV Price Prediction: How did CRV perform in 2021?
In August 2020,
when CRV was launched, its price immediately rose to an all-time high of $6.93, but then plummeted to $0.33 by October 2020. It ended the year at $0.6283.
In 2021, CRV
prices experienced huge price spikes. Amidst the industry-wide bull run in early 2021, CRV hit $4.04. This was followed by a swing back to $1.28 in July. The market started to recover in August and CRV spent most of the month above $2. September and October were also relatively relatively favorable, and the token broke through $3 on September 15 and touched $5 on October 26.
In November, the
coin rallied to a periodic high of $6.39 on November 25, before the general market crash due to Covid. The token fell to $2.81 on December 4 before making a recovery to close the year at $5.35.
CRV price prediction 2022: some facts
- Unlike traditional exchanges that match buyers and sellers, Curve.fi provides an exchange platform that works on different behaviors and leverages liquidity pools.
- The Curve protocol is designed for easy exchange between ERC-20 tokens, such as stablecoins (such as USDC and DAI) and Ethereum-based Bitcoin tokens (such as WBTC and renBTC).
- The CRV token can be locked for up to 4 years to vote on governance and claim protocol fees as a reward.
- The network borrows many concepts from Uniswap, such as the integration of an AMM and liquidity pool. Therefore, its developers often refer to it as “stablecoin Uniswap”.
Is CRV a good investment?
- The curve mainly focuses on stablecoins pegged to national currencies. It provides a valuable market and a structured way to take advantage of the unique features of these coins. In this way, CRV helps to connect centralized stable coins such as USDT and decentralized projects, such as DAI.
- Curve offers efficient stablecoin trading, low-risk transactions and passive income for liquidity providers.
- On average, traders pay 30% lower commissions when changing their stable coins on Curve compared to Uniswap.
- The platform currently supports many top stablecoins and some pools pegged to BTC via RenBTC, WBTC, BTC and HBTC.
How to buy CRV?
Follow these simple steps to purchase CRVs:
- Choose a Crypto Exchange that supports CRV
- Create your account with Crypto Exchange
- Fund your portfolio
- Buy CRV
The best cryptocurrency exchanges that offer CRVs to trade are