Whale Causes 22% Surge in CRV Token After Binance Withdrawal


CRV, the native currency of Curve Finance, a decentralized exchange focused on stablecoins, is seeing an uptrend in September 2023 after August’s weakness. Trackers reveal a 22% increase in the past two weeks, with an additional 10% in the last week alone. Coincidentally, an unidentified whale has moved 1.542 million CRV (worth $684,000) from Binance to Curve Finance. Furthermore, the whale has provided 5.36 million CRV worth $2.27 million in liquidity to Curve Finance.

CRV is the governance token in CurveDAO, and holders can exercise voting rights and receive rewards from liquidity pools. Curve Finance uses an automated market maker model for trustless swapping of stablecoins, ETH, and wBTC.

The withdrawal of coins from Binance to a non-custodial wallet could be seen as a vote of confidence in CRV, however, the token has been on a decline in Q3 2023; a 32% decrease in August alone. This is attributed to waning crypto momentum and regulatory actions, plus a re-entrancy attack on Curve Finance in late July that resulted in the loss of $61 million worth of tokens. Despite the recent pump, CRV prices have yet to recover. Curve Finance patched the vulnerability, and CEO Michael Egorov had to liquidate a big chunk of CRV used to secure loans.

The whale activity and the security exploit of Curve Finance have both contributed to the current state of CRV. It remains to be seen whether the token will continue to rise. Feature image from Canva, chart from TradingView.

Related articles

Recent articles