The rewards in Curve Finance come from trading fees, interest, and bonus or incentive fees. These rewards depend on trading volume, and liquidity providers can earn a high Annual Percentage Yield (APY) during high volume days. However, APYs fluctuate daily and there is no guarantee of a fixed rate.
Curve Finance is a decentralized exchange and Automated Market Maker (AMM). It offers swaps between various cryptocurrencies and stablecoins. Additionally, it has yield earning functionality, which enables users to earn rewards as they invest. The platform works similar to a special library. Users can trade various cryptocurrencies and assets to earn rewards.
Curve Finance is ideal for traders who want to swap between stablecoins or tokenized versions of a coin. It has a wide selection of pools and is one of the few places where you can swap between different tokenized versions of Bitcoin. Curve has a total of 17 pools available, and the selection changes regularly. USDT, ERC20, and ETH are among the coins available through the platform. Curve’s creator, Michael Egorov, is also the CTO of NuCypher.
Curve is governed by the CurveDAO, an Aragon-based Decentralized Autonomous Organization. Users vote on matters related to Curve, and votes are weighted by time and quantity. This means that earlier votes have more value than later votes. The CRV token, the native governance token of Curve, has already seen a surge in volume and helped the company break the $1 billion TVL milestone.