An Updated Look at the Curve Ecosystem

Curve Finance achieved great success as an automated market maker (AMM) optimized for similarly priced assets using the now prolific veToken liquidity mining model. Since launching in 2020, the Curve ecosystem has expanded considerably, helping to attract liquidity, manage growing complexity, and expand product scope. 

Curve v2 was the first improvement made on the protocol’s original stableswap model. While v1 pools assume a fixed internal price (1:1), v2 expands to non-pegged token pairs by tweaking smart contract accounting to allow for dynamic internal denominations. Rather than being pegged to each other, assets are dynamically re-pegged using a market price inferred from pools’ EMA price oracle.