curv

Fidelity Global Macro Research Director Jurrien Timmer stated that Bitcoin has maintained its power law curve bottom and has adjusted long enough to meet the time factor of the four-year cycle.

Although Nvidia's upcoming earnings report and Federal Reserve Chairman Waller's speech at the Jackson Hole annual meeting are the main events of interest for investors this week, traders in the stock derivatives market have already begun preparing for potential volatility increases around the November U.S. midterm elections.Traders focused on volatility in the futures market linked to the VIX index have noted signs indicating that demand for hedging S&P 500 index volatility has increased before and after the elections. VIX futures expiring in September are currently trading at around 17.4, but October contracts have risen to 19, and November contracts have further increased to 19.7.Matthew Thompson, co-portfolio manager at Little Harbor Advisors, stated, "The U.S. elections are approaching, and you are entering a time window where the elections will impact the VIX. You can already see this 'backwardation' in the term structure of VIX futures."A study by analysts at the Chicago Board Options Exchange Global Markets shows that since 1945, in 80% of midterm election years, actual volatility has been higher than the previous year, with an average increase of 3.5 volatility points. In years when both the White House and Congress are controlled by the same party, actual volatility increases by an average of 6 volatility points.

According to CoinDesk, the U.S. Treasury announced that from September 9 to November 4, the limit for single long-term U.S. Treasury bond repurchases will be raised from $2 billion to at least $4 billion, using short-term debt financing instead of "printing money," which the market views as a liquidity management operation similar to "Operation Twist 2."Although officials emphasize that this measure is not quantitative easing (QE) or yield curve control (YCC), it is interpreted as a signal of policy concerns regarding rising financing costs against the backdrop of long-term yields reaching nearly a twenty-year high and high fiscal deficits. This has strengthened expectations for a more aggressive YCC in the future, driving Bitcoin to surge short-term, breaking through $78,000, with a weekly increase of 23%. Gold has also strengthened, while the dollar weakened, intensifying market volatility due to short covering.

UPBIT will list Curve (CRV) on August 21 at 13:00 and support KRW and USDT trading. Users need to confirm using the Ethereum network for CRV deposits and withdrawals.

According to Curve.finance Governance, Swiss Stake AG submitted a progress report for H1 2026 stating that Llamalend V2 has passed the ChainSecurity audit and has launched on Optimism and the Ethereum mainnet, supporting LP Token and PT collateral while introducing new admin fee revenue for Curve DAO.FXSwap has entered the production optimization phase, focusing on research around liquidity concentration, price_scale, and dynamic fees. FastBridge has launched on Arbitrum, Optimism, and Fraxtal, reducing the time to withdraw crvUSD from Layer 2 to Ethereum from about 7 days to approximately 15 minutes. The team has secured the second phase of 8.725 million CRV and additional CRV and crvUSD funds to support operations until the end of 2026, and plans to submit a proposal to increase the DAO protocol fee share from 10% to 30%.

According to The Block, Curve founder Michael Egorov stated that the Financial Action Task Force (FATF) regulatory pressure on decentralized finance (DeFi) may prompt protocols to remove privileged access, upgrade risks, and the ability to intervene in user funds, thereby enhancing DeFi security and increasing decentralization.

According to Jinshi reports, BlueBay Chief Investment Officer Mark Dowding pointed out in a report that investors have reason to believe that Federal Reserve Chairman Waller will tend to make hawkish statements and do everything possible to consolidate his anti-inflation reputation, although he will not take any actual action at this time. This may further flatten the U.S. yield curve in the short term.Dowding also mentioned that given the continued deterioration of the U.S. fiscal situation and the rising expenditures of Trump in the Middle East conflict, these factors may lead to a steepening of the yield curve at some point in the future.

According to Jinshi News, Capital Economics stated that the yield spread between the 10-year and 2-year U.S. Treasury bonds will further narrow in the coming months, and the ongoing escalation of tensions in the Strait of Hormuz may lead to a complete inversion of the yield curve. The reason for this difference is that the expected rise in short-term real interest rates exceeds that of long-term real interest rates, with the Federal Reserve expected to raise interest rates by 75 basis points over the next year.

DeFi infrastructure company Enso disclosed in a report a type of malicious liquidity pool called "toxic pools," which manipulates trading simulations to return false optimal quotes to wallets and DEX aggregators, and alters logic during actual on-chain execution. Enso stated that the relevant malicious contracts can identify read-only simulation environments and return optimized prices, but once the trades are broadcasted on-chain, they execute at worse prices or result in transaction failures.A manipulated Curve pool processed over 129,000 exchanges, resulting in approximately $225,000 in inflated quotes, with over 37,000 transactions rolling back and consuming nearly $30,000 in gas fees. On Polygon, a malicious Uniswap v4 hook attracted routing systems with false exchange rates, subsequently triggering a 99.1% transaction failure rate. Enso stated that it has updated its execution protection product Enso Shield to detect false quotes in Ethereum and Polygon environments.

According to Jinshi reports, Edmond de Rothschild Asset Management stated that the U.S. Treasury yield curve may begin to steepen. In addition, the Bank of Japan, the European Central Bank, and the Federal Reserve may coordinate interventions before the end of 2026 to boost the yen.

Curve Finance announced that its lending product LlamaLend V2 has officially launched on the Ethereum Layer 2 network Optimism. Users can engage in borrowing, lending, or circular leverage operations in the isolated market based on the Curve LLAMMA mechanism. It is reported that this upgrade will open a new market and distribute OP rewards to eligible users through Merkl.

According to The Block, Curve Finance has launched the lending protocol Llamalend v2 on Optimism as the first phase of its major upgrade, with plans to deploy it to the Ethereum mainnet in the second half of this year.Llamalend v2 removes the restriction of only supporting crvUSD, allowing for almost any collateral to be combined with lending assets, and introduces LlamaRisk as the market auditor responsible for evaluating new collateral and managing the market lifecycle.Users can use Curve LP tokens as collateral, allowing them to lend funds while maintaining market-making exposure, thereby improving capital efficiency. The launch on Optimism received a subsidy of 250,000 OP (approximately $50,000) provided by the Optimism Foundation, which will be used for liquidity and activity incentives over the next two months. Initially, the lending limit will be zero, only allowing for lending, and the lending limit will be determined through a seven-day DAO vote, with full functionality expected to gradually open from June 16.

DeFi analyst Ignas asked on social media about the core narrative of current Bitcoin bulls, to which Curve founder Michael Egorov replied that the logic of Bitcoin is "to replace the dollar as the world's reserve currency."

According to Onchain Lens monitoring, Echo Protocol was attacked on the Monad chain. The attacker minted 1,000 eBTC ($76.7 million) and withdrew funds from Curvance through a previously tested attack path.Currently, the attacker has deposited 45 eBTC ($34.5 million) into Curvance as collateral, borrowed about 11.29 WBTC ($867,700), and cross-chained to Ethereum, sending 385 ETH (approximately $818,000) to TornadoCash after exchanging for ETH. The attacker still controls a large amount of minted eBTC.

Curve Finance officially announced that it is introducing a bad debt recovery mechanism based on on-chain market mechanisms, allowing CRV-affected users in certain lending markets with bad debts to choose different recovery strategies: directly selling their claims to exit, continuing to hold and wait for potential recovery, or providing liquidity to earn fees and incentives. The core of this mechanism is to establish a trading pool between crvUSD and the tokens of the affected claims, allowing bad debt claims to be priced in the market and creating liquidity, thereby providing users with an immediate exit channel instead of relying solely on the final liquidation results.It is reported that after the cryptocurrency market crash in October last year, some lending markets under Curve Finance experienced bad debt issues, with various liquidity pools being impacted by severe price fluctuations and liquidity contraction, leading to some deposit users facing withdrawal restrictions and asset losses.Curve stated that the recovery mechanism will not eliminate losses or guarantee recovery, but will gradually reflect risks and recovery expectations through a market-oriented approach. Additionally, if the governance layer distributes rewards through the veCRV incentive mechanism, it will help enhance liquidity depth, improve exit conditions, and strengthen market pricing efficiency.

The Curve team has published a proposal on the governance forum, addressing approximately $700,000 in bad debt generated by the CRV-long LlamaLend market, proposing a recovery mechanism based on the free market.This mechanism utilizes the option characteristics of the CRV-long treasury assets: when the price of CRV rises, the value of the treasury assets increases, and when the price falls, it does not further depreciate. The proposal suggests establishing a Curve stable pool with a low amplification coefficient (A=2) and a high redemption fee (1%), concentrating the liquidity of the treasury tokens around a repayment capability level of approximately 71%. Arbitrageurs can profit by purchasing treasury tokens through flash loans and conducting partial liquidations.Curve DAO has been invited to approve incentive measures for this pool, and the management fees collected will be retained in the treasury in the form of treasury tokens. If this mechanism is successful, it will serve as a reference solution for similar situations.

Curve founder Michael Egorov stated that the recent large number of avoidable security incidents in DeFi stem from centralized single points of failure, which are harming the entire industry. He cited the Aave and rsETH incidents as examples, indicating that related issues should be prevented before accidents occur, rather than remedied afterward.He called for the industry to collaboratively establish DeFi security standards to reduce single points of failure and to share best practices among project teams, auditing agencies, and risk assessment teams; he also suggested that the Ethereum Foundation and Solana Foundation could coordinate ecological participants to develop security principles and rules.