Swerve Finance's total value locked hits 40% of Curve's deposits within four days of its launch

Swerve Finance, an unaudited fork of decentralized finance (DeFi) protocol Curve Finance, has amassed over 40% of Curve's deposits within four days of its launch.

The total value locked (TVL) or the total amount of Swerve deposits has hit $415 million. Curve's TVL, on the other hand, stands at a little over $1 billion.

While the TVL game between Swerve and Curve is heating up, the volume game isn't as strong yet. Swerve's daily trading volumes are only about 9% of Curve's, at around $13 million, compared to Curve's $160 million.

But that could change in the future if Swerve provides better liquidity with the least slippage or the difference between the expected price and the execution price of a trade.

Both Swerve and Curve are decentralized exchange protocols for trading stablecoins. The key difference between the two protocols is that Swerve is "100% community-owned and governed," meaning its users started generating SWRV tokens with their deposits from day one. Curve, on the other hand, did not launch its CRV token on day one. In fact, Curve was forced to launch CRV earlier than its planned schedule, after an anonymous developer front run and deployed smart contracts without the knowledge of the Curve team.

To reiterate, Swerve is an unaudited protocol, making it riskier than Curve, which is audited by smart contracts audit firm Trail of Bits.

About Author

Yogita Khatri is a senior reporter at The Block and the author of The Funding newsletter. As our longest-serving editorial member, Yogita has been instrumental in breaking numerous stories, exclusives and scoops. With over 3,000 articles to her name, Yogita is The Block's most-published and most-read author of all time. Before joining The Block, Yogita wrote for CoinDesk and The Economic Times. You can reach her at [email protected] or follow her latest updates on X at @Yogita_Khatri5.

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