Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Yearn And Convex Are Competing For Curve Tokens

By Crypto BriefingCryptocurrencyJun 06, 2021 12:51AM ET
www.investing.com/analysis/yearn-and-convex-are-competing-for-curve-tokens-200584403
Yearn And Convex Are Competing For Curve Tokens
By Crypto Briefing   |  Jun 06, 2021 12:51AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

In the race for CRV tokens, Curve Finance investors seem to be winning whatever happens.

Key Takeaways

  • Convex Finance is a new DeFi protocol offering yield farming optimization on Curve Finance's stablecoin pools.
  • In order to boost yields, both Convex Finance and Yearn Finance need to lock CRV tokens in Curve Finance's vesting escrow.
  • As a result of the battle between the two projects, CRV has jumped 59.5% in the last week.

Optimizing yield on Curve Finance’s pools is Yearn Finance’s bread and butter, but newcomer Convex Finance is gaining rapid traction as the two DeFi protocols fight for Curve’s liquidity provider tokens.

Yearn vs. Convex

In what some are calling “The Curve Wars,” DeFi protocols are battling to attract liquidity from Curve Finance (Curve) investors.

The two biggest contenders of this race to lock CRV are Yearn Finance (Yearn), a popular yield farming optimization protocol, and Convex Finance (Convex), one of DeFi’s newest protocols.

Convex is offering attractive interest rates on veCRV tokens by incentivizing stakers with its own governance token CVX. DeFi users can earn veCRV by vesting CRV for an extended period of time.

It is also incentivizing SUSHI holders by rewarding those who stake cvxCRV in Sushi’s cvxCRV-CRV liquidity pool. The cvxCRV token can be earned by staking CRV in Convex.

In essence, the fight between the projects centers on which one can offer the best returns on Curve’s stablecoin pools. While Yearn can’t incentivize participation with its governance token YFI, Convex can.

Although Yearn provides better yield optimization, the liquidity mining rewards have seen Convex surpass Yearn’s yield on many Curve pools. This has helped the young protocol to quickly surpass $1 billion in total value locked.

In the end, the real winners of this competition might be Curve and CRV holders. While Yearn and Convex seek to offer the best yields to their users, they often have to lock significant amounts of CRV to do so, buying it from the open market.

The “Curve War” is really a war for CRV, which, no matter the outcome, benefits Curve. CRV is up 59.5% in the last week. At time of writing, it was trading at $2.57.

Original Post

Yearn And Convex Are Competing For Curve Tokens
 

Related Articles

Yearn And Convex Are Competing For Curve Tokens

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email