Curve Finance's decentralized autonomous organization (DAO) is set to vote on a significant proposal to leverage a $60 million credit line of crvUSD for Yield Basis, aimed at generating new revenue streams for the protocol and its ecosystem. The proposal, introduced by founder Michael Egorov, suggests that holders of CRV who stake their tokens will earn vote-escrowed CRV (veCRV), with returns ranging between 35% and 65% of its value, while 25% would be allocated to the ecosystem. Current voting indicates a strong support, with 97% in favor as of now. The Yield Basis aims to enhance incentives for the Curve ecosystem, creating liquidity pools for assets like Wrapped Bitcoin and allowing for increased scalability without negatively impacting the crvUSD peg. Despite facing challenges recently, including a notable decrease in total value locked (TVL) from its peak, the decentralized finance sector shows signs of recovery, with overall TVL rising significantly in 2025.

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