Since my (re)discovery of DeFi back in March 2020, I have been focusing my attention and my capital on things that were bringing value to me. Things I actually needed on a daily basis.
- Uniswap allows me to trade any token even before their listing on any exchange, or sometimes cheaper that on an exchange (arbitrage).
- Compound and Aave allow me to earn passive interests on the assets I am long on, with one of the lowest security risk on the market (simple-ish smart contracts).
- Loopring (zk-rollups) allows me to trade/invest with a smaller amount of capital per trade (50$) and do DCA or arbitrage more easily than on Uniswap.
On the three platforms above, there are sometimes opportunities involving me trading/depositing a stablecoin A (ex: DAI), while I own a stablecoin B (ex: BUSD) of the same value.
- Curve, for that purpose, has been a game-changer for me, allowing me to trade a stablecoin B for a stablecoin A for a very low slippage (especially DAI). It actually used to be the lowest net-slippage on the market, which makes Curve extremely valuable - and stablecoins are here to stay.
Some things have changed though :
- More and more centralized platforms allow you to trade multiple types of stablecoins (ex: Binance enabling DAI pairs).
- Ethereum higher Gas prices mean that using Curve is not the no-brainer solution anymore when it comes to stablecoin swapping. A search on 1inch or Paraswap shows that sometimes, alertnative exchanges can propose a net-slippage lower than on Curve. That is exclusively due to the amount of gas required for swaping on Curve (the raw-slippage is still the best on the market). This morning, I wanted USDC/DAI for BUSD. Unfortunately - and despite a 60 gwei gas - it was more interesting for me to transfer my BUSD to Binance and transfer USDC from Binance (hence paying fees to Binance). It was only a 4K trade, and I think Curve is still more interesting for larger trades (> 20K), but the fact that I didn’t use Curve for that operation means something to me and triggers an orange light.
I know that the team (or at least, people) are working on developing Curve further and beyond, with a lot of exciting stuff coming.
However, I just want to make sure that everyone agrees that the original value of Curve (lowest slippage stablecoin exchange) is still the main “why” people are actually using the platform and finding value in it (and hence, the reason Curve will continue growing and have guenine adoption).
I would translate this to :
- Finding a way to lower those fees (zk-rollups, Optimistic Rollups, sidechain).
- (a) While not creating a barrier for one-time users (cheap L1<->L2 transfers).
- (b) And/Or guaranteeing interoperability with the most popular platforms (Uniswap, Compound, Aave and others).
I am wondering if the team agrees with this vision, and if not, what is the team’s vision.
As a side question (but could be it’s own topic), what type of relationship is the team willing to have with it’s users ? With it’s “shareholders” / governance participants ? I feel like a lot is going on behind the scenes while being very discrete in term of communication. Is it a choice from the team or are you simply not sure yet or where your seat should be in the DAO ?
I am mostly talking as an user who needs the platform on his DeFi journey, but I acknowledge that my vision can be biased because also being a techy, investor and farmer.
That is why I would be glad if USERS seeing this topic could give their opinion on all of that.