September 1, 2023: Scene Through a Prism 🌈💎
Prisma’s big launch! Plus updates on Base, $pyUSD, Gearbox, Silo, and more
Congrats to Prisma!
Yesterday the team launched into the pits of the bear, and quickly accumulated $20MM worth of collateral.
The $wstETH vault filled up within two hours, and the $sfrxETH vault hit its limit shortly afterwards. Only the $rETH and $cbETH vaults remained open as of publication.
Safe to say it’s a hit. With $mkUSD notching 8 digits within 24 hours, what are users doing with the newly minted stablecoin?
The vast majority, $12.5MM, is being dropped into the stability pool. The benefits of depositing are explained in the documentation.
The stability module would kick in around 120%. At present the collateralization ratio is sitting at a healthy 189%.
Other minters are depositing into Curve. A $mkUSD / $crvUSD pool got tossed up with some bonus incentives, and saw $3.19MM flow into the pool over the course of an hour. An additional $500K was deposited into the Curve $mkUSD / $FraxBP pool, which is undergoing a vote for rewards.
In the first hours after launch, the pool was slightly lopsided towards $mkUSD, causing its price to trade somewhere in the vicinity of $GHO. Those with fierce constitutions could have bought the “depeg” and pocketed a couple percent, as the stablecoin quickly repegged. But such a high-risk strategy wouldn’t be for the faint of heart…
Disclaimer: Author is an investor in $PRISMA
Based
Since yesterday, more volume has been flowing into Base. Curve has ripped past $17MM in TVL, putting it just outside the top 5 on the chain.
Kudos to Odos Protocol for integrating Curve pools so quickly into their router, which features the ability to route paths split into several different input/output tokens.
Using Odos, you can see that even in its relatively nascent state, Curve’s growth positions it nicely with key liquidity hub for several important tokens.
Base currently has two flavors of wrapped $USDC, with a third native $USDC coming soon. We’ve seen the success of the 3Pool on mainnet, but a 3USDC would be something new…
Around the Flywheel
Over a year into the bear, the developments from around the flywheel feels like we’re still in the wild throes of the bull.
Gearbox introduces six Curve v2 pools to their leverage games…
You may have noticed that a $PyUSD / $FraxBP pool got launched on Curve.
As it turns out, it is Frax that is picking up the low hanging fruit here.
$PyUSD has been lacking in utility since it launched, leading to slow adoption. A thriving Curve pool may be the antidote here..
We also see new Curve pools for Lybra V2’s $eUSD / $peUSD
Silo Labs has doubled their incentives to provide $crvUSD.
$crvUSD was featured in a Binance research report
Paloma is becoming a major trading hub for Curve, with over $6MM in volume.
