Within the wake of an enormous exploit, the value of the Curve (CRV) token has declined drastically, recording double-digit losses within the final day. This has led to what some would name a chance to purchase low-cost cash and Matrixport and Bitdeer founder Jihan Wu is likely one of the believers.
A Good Time To Purchase Curve (CRV)?
Jihan Wu just lately tweeted that he purchased the CRV dip. In line with Wu, he stays a powerful believer within the token due to its future purposes.
Wu’s tweet comes at a time when Decentralized Finance (DeFi) platform Curve DAO’s native token CRV has been down by greater than 12% within the final 24 hours. This dip got here following an exploit in a few of Curve’s stablecoin swimming pools.
The exploit on the protocol reportedly occurred resulting from a bug within the Vyper programming language, which is used to energy a part of the DEX’s ecosystem.
Regardless of this incidence, Wu believes that it is a good time to spend money on the CRV tokens as these tokens will play a major position within the coming RWA (Actual World Property) wave in reference to the tokenization of bodily belongings.
“Within the coming RWA wave, $crv is likely one of the most necessary infrastructures. I’ve BTFD. NFA,” the founder mentioned within the tweet.
Indisputably, the tokenized trade is rising and boasts immense potential. Final yr, a World Financial Discussion board survey projected the tokenized belongings trade to account for nearly 10% of the worldwide GDP by 2027.
The tokenization of real-world belongings will contain bringing bodily belongings like homes, arts, and valuable metals on-chain. This may undoubtedly present simpler entry and promote fractional possession of those belongings.
CRV worth declines over 14% following exploit | Supply: CRVUSD on Tradingview.com
As Wu has highlighted, DeFi protocols like Curve and tokens like CRV will play an integral position in facilitating transactions involving the switch and commerce of those tokenized belongings.
DeFi Safety Stays A Stumbling Block
The a number of exploits on DeFi protocols proceed to stay an enormous drawback within the DeFi ecosystem and one thing which many think about a stumbling block to the broader adoption of DEXs over CEXs by many crypto customers. Lately, Curve Finance’s Omnipool platform, Conic Finance, suffered an exploit that resulted within the hacker stealing over $3 million in Ether.
A report from Web3 portfolio app De.Fi discovered that over $204 million was misplaced to hacks and exploits within the DeFi ecosystem in Q2 of 2023 alone. The variety of incidents (117) in Q2 this yr translated to an “nearly 7 occasions” enhance compared with Q2 of 2022 (17 incidents).
In line with the report, over $665 million have been misplaced to such exploits this yr. And these breaches additional spotlight the necessity for DeFi protocols to implement enhanced safety mechanisms on their platforms.
Featured picture from The Coin Republic, chart from Tradingview.com