•Huobi co-founder Jun Du has purchased 10 million Curve Dao tokens from Curve founder Michael Egorov.
•The purchase is in support of the Curve protocol which is currently in a liquidity crisis after being exploited on July 30th.
•Jun Du has locked up the tokens as veCRV, granting him voting rights on the Curve platform.
Huobi Co-Founder Purchases 10 Million Curve DAO Tokens
Jun Du, the co-founder of Huobi exchange, has recently purchased 10 million tokens of the decentralized finance (DeFi) protocol Curve DAO (CRV). The purchase was made from Michael Egorov, the founder of Curve Finance, who is trying to reduce his own exposure to DeFi stablecoin loans.
Curve Protocol Exploited
On July 30th, an exploit was discovered on the Curve protocol causing its native token CRV to depreciate significantly. Despite this setback, Egorov had already paid back over $17 million of his stablecoin loans prior to Jun Du’s purchase. He still owes a hefty debt load with about $60 million in stablecoins owed on Aave and Abracadabra combined and about $8 million on Inverse. To add salt to injury, Abracadabra Money proposed increasing interest rates on its outstanding loans in order to reduce risks related to its exposure to CRV tokens.
Jun Du’s Move
Jun Du announced his intention to purchase 10 million CRV tokens at market price via a number of over-the-counter transactions involving Egorov and various members of the crypto community. After successfully completing the transaction, he locked up all tokens as veCRV granting himself voting rights within the platform. This move was meant as a show of support for Curve Finance which is currently going through a liquidity crisis due to recent events.
Previous Assistance From Jun Du
This isn’t Jun Du’s first time offering assistance during difficult times such as these – he also supported BendDAO during their own liquidity crisis back in 2020 when they were under threat from rug pulls and flash loan attacks. He believes that by supporting each other during times like these, everyone involved can benefit from it in some way or another down the road.
About Jun Du
Jun Du is not only co-founder and general partner (GP) at web3 fund ABCDE but also CEO at New Huo Tech –a platform for digital asset services .