Curve Finance is a decentralized exchange (DEX) that focuses on stablecoins, cryptocurrencies designed to maintain a stable value. Its native token, CRV, plays a central role in the platform’s operations and governance.
What Is Curve Finance?
Launched in 2020, Curve Finance allows users to trade stablecoins efficiently with low fees and minimal price fluctuations. It uses an automated market maker (AMM) system to facilitate these trades. In 2024, Curve introduced its own stablecoin, crvUSD, and a lending platform called LlamaLend, expanding its services in the decentralized finance (DeFi) space.
Understanding the CRV Token
Supply and Distribution
- Maximum Supply: 3.03 billion CRV tokens.
- Current Circulating Supply: Approximately 1.31 billion tokens.
- Distribution Breakdown:
- 57% allocated to community incentives.
- 26.4% to the core team.
- 5% to early users.
- 5% reserved for the community.
- 3.6% to investors.
- 3% to employees.
- 57% allocated to community incentives.
Tokenomics
CRV tokens are gradually released over time. Initially, about 2 million tokens were distributed daily. This emission rate decreases by approximately 16% each year to control inflation.
Uses of CRV
CRV serves multiple purposes within the Curve ecosystem:
- Governance: CRV holders can lock their tokens to obtain veCRV, granting them voting rights on protocol decisions.
- Boosting Rewards: By holding veCRV, users can increase their liquidity mining rewards.
- Fee Sharing: veCRV holders receive a portion of the fees generated from trades on the platform.
- Directing Emissions: veCRV holders can influence where new CRV tokens are distributed by voting on gauge weights.
Recent Developments
- Emission Reduction: In 2024, Curve reduced its annual CRV emissions to 137 million tokens, aiming to enhance the platform’s sustainability.
- Fee Distribution Update: Curve transitioned from distributing fees in 3crv tokens to using crvUSD, increasing the utility of its stablecoin.
- Founder’s Token Sales: Michael Egorov, Curve’s founder, resumed selling portions of his CRV holdings, totaling over 3 million tokens. This activity has raised concerns about potential impacts on the token’s price.
Market Metrics (as of April 11, 2025)
- Price: Approximately 0.60 USDT per CRV.
- Market Capitalization: Around 788 million USDT.
- 24-Hour Trading Volume: Approximately 297 million USDT.
- All-Time High: 60.50 USDT in August 2020.
- All-Time Low: 0.18 USDT in August 2024.
Conclusion
Curve Finance has built a strong foundation for stablecoin trading. With smart design, active community governance, and continued innovation (like crvUSD and LlamaLend), it’s a core part of the DeFi world. CRV token holders help guide the platform while also enjoying rewards and influence.
That said, this article is not financial advice. Crypto markets are risky. Please DYOR (do your own research). A good place to start is blog.millionero.com, where you can find beginner guides, market updates, and deep dives like this one.
And when you’re ready, you can trade CRV and other tokens on Millionero, with ultra-low fees, spot and perpetual futures, and all the tools you need to stay ahead.