Curve 3pool is losing balance amid fears that the stablecoin tokens in the pool could be affected by Silicon Valley’s sudden bank collapse.
Curve 3pool, a liquidity pool with more than $510 million in USDC, DAI and USDT, should have the approximate balance of the three, but at the moment the share of USDT has dropped to less than 7% while USDC and DAI have increased. increased to more than 46%
The imbalance in the pool is due to crypto investors’ concerns over assets linked to Circle and DAI’s USDC stablecoin, which is partially backed by USDC. Part of Circle’s cash reserves, a USDC-backed asset, could be locked up in the abruptly closed Silicon Valley bank.
Circle has previously said it holds part of its $43 billion reserves at Silicon Valley Bank, which Andrew Thurman, head of research at information firm Nansen “Curve Pools have become a measure of investor confidence in stablecoins and also play a key role in keeping on-chain pegs and pool imbalances potentially worsening liquidity. and increased panic among investors.”
By numbers, 3pool has never held such a small percentage of Tether USDT tokens before. By following the Dune Analytics dashboard atbuildBy Subin An, Hashed Data Analyst
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