Trading volume on decentralized finance platform Curve Finance (CRV) is going parabolic following the news that Paxos will stop issuing Binance USD (BUSD).
Curve Finance is a decentralized exchange (DEX) focused on stablecoins and has some of the largest liquidity pools available in DeFi.
According to the blockchain tracker defillamaCurve Finance volume shot up to the third highest level in its history earlier this week.
“CurveFinance has recorded a transaction volume of $1.07 billion in the last 24 hours, marking a new high for the year. Only two other days in their history have seen higher volume, and both occurred immediately after the FTX crash.”
CurveFinance’s Twitter page also acknowledged the explosion in activity, saying that “good drama generates good trading volumes.”
Just before the platform’s trading volume increased, Paxos, which issues and trades BUSD in partnership with Binance, was ordered by the New York Department of Financial Services (NYDFS) to freeze production.
Activity on Curve Finance appears to be tied to traders switching capital to different stablecoin groups due to the uncertainty surrounding BUSD.
Curve Finance is also working on its own USD-pegged stablecoin known as crvUSD, for which it published a whitepaper late last year, but no release date has been given.
Curve Finance’s governance token CRV has also turned green in the past day, currently up 6% in the last 24 hours and trading at $1.07.
Don’t miss a thing: sign up to receive crypto email alerts straight to your inbox
Check Price Action
follow us TwitterFacebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: The opinions expressed in The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investment in Bitcoin, cryptocurrencies, or digital assets. Please note that your transfers and transactions are at your own risk, and any loss you may incur is your responsibility. The Daily Hodl does not recommend the purchase or sale of cryptocurrencies or digital assets, and The Daily Hodl is not an investment adviser. Please note that The Daily Hodl is involved in affiliate marketing.
Featured Image: Shutterstock/Tina Ji/Plasteed
