How to help USDM - Mochi "Slow Rug" Victims & kill the USDM / 3CRV POOL?

Summary: Azeem Ahmed is a BAD ACTOR and has slow rugged the USDM - Mochi Community. He should be banned from Curve and Convex, and other crypto protocols. USDM holders should be audited, all Azeem Ahmed transactions should be investigated, the USDM/3CRV pool needs to be consciously closed with ill-gotten gains of 1200 ETH, 1M CVX and PRISMA AIRDROP distributed pro-rata to legitimate USDM holders and Mochi Investors.

This DRAFT PROPOSAL is an effort to SELF-REGULATE and REMOVE BAD ACTORS from GOOD PROTOCOLS and to close up DAMAGED & DEPEGGED LIQUIDITY POOLS to the best of our abilities. I’m hoping to receive intelligent, creative, and resourceful comments such that I can draft a better proposal, or edit this one.

Abstract: Propose taking action against Azeem Ahmed to reverse his ill-gotten gains, to punish his “slow rug” and distribute pro-rata to legitimate USDM Holders, and Mochi Investors as best as possible. Screenshot evidence provided.

The proposed change is to do something to close or possibly repeg the USDM-3CRV pool after an extensive audit and investigation into Azeem Ahmed. Additionally, the 1M CVX tokens he locked on Convex ought to be distributed pro-rata to the USDM holders, which is a solution he had already offered but rescinded. (Likely requires Convex Proposal as well.)

Motivation: My motivation comes from the frustration of dealing with this charlatan crook who had promised to do everything to restore the USDM peg, and the CRV emissions. He gave himself a 5% management fee, and 20% performance fee, and recently increased the performance fee to 50%! He was caught, and he reduced it back to 20%. See screenshots:
Increase to 50%

Reduce back to 20%

Why does he deserve any management or performance fee? For collecting and distributing rewards from locked CVX tokens? He doesn’t even distribute AIRDROPS. Here is the PRISMA AIRDROP which he hasn’t offered to distribute.

Furthermore, USDM holders are expected to claim the 75% of their rewards as gCRV available on, but this is the second time the claim function is broken, and the wallet is not called to confirm the transaction. There is no support and various Discord servers are censored and ignored. Mass deletion of comments have happened in an attempt to erase his criminal behavior.

My motivation is to help the victims of USDM & Mochi, to redistribute his ill-gotten gains, to punish his criminal behavior, to clean up the Curve & Convex ecosystems, to kill or restore the USDM/3CRV Pool, and to discover how we can do this in a decentralized manner.

I think this proposal is worthwhile because the Emergency DAO to kill the USDM gauge happened in a centralized manner, it was not voted on, many small LP holders did not know about this and were absolutely wrecked after the depeg of USDM. This was a rare centralized action of Curve. This is an opportunity to review the life cycle of the slow rug of Azeem Ahmed, and to deliver justice. Certainly Bad Actors should be punished, and efforts ought to be made to make the victims whole.


If you believe BAD ACTORS should be punished, and efforts ought to be made to make the USDM & Mochi Victims whole. You also want dead, depegged pools to be cleaned off of the protocol.


If you don’t care about BAD ACTORS and think we should have known better. You don’t care about protocol housekeeping.

My personal letter: First and foremost, I apologize for my previous support of Azeem Ahmed. Please forgive me. I sense you felt frustrated that I was complaining and rationalizing for who you clearly saw as a crook taking advantage of the Curve protocol. You can count on me to do better due diligence, be suspicious of brazen actions, and be way more careful of who I trust.

Azeem Ahmed has turned out to be a charismatic crook who continues to extract 25% in fees (5% Management / 20% Performance) from the 1M Locked CVX rewards that ought to go to USDM bagholders. He recently raised it to 50% Performance Fee, got caught, and lowered it to 20%. (See screenshots) Recently the website stopped functioning so that USDM bagholders can not collect the 75% of their gCRV rewards from the locked CVX.

Azeem Ahmed HAD offered a pro-rata disbursement of CVX to USDM bagholders, as well as a full refund to early investors in Mochi. Everyone agreed this was a good idea. He has since rescinded on this offer, favoring instead to slowly siphon 25% in fees per month. There is also the PRISMA airdrop which he hasn’t announced as being disbursed, and likely will be stolen. (See screenshot.)

I’d like to ask the community to generate decentralized solutions. Yes, we are looking at legal action and enforcement. Curve was able to use an Emergency DAO to help the whales exit the USDM / 3CRV Pool in a centralized manner, which destroyed smaller liquidity providers who were not aware of the action, nor called for a vote.

Will Curve be able to help the smaller bag holders who are getting milked and abused by Azeem Ahmed in another centralized manner, or is a decentralized way possible?


Agree with all of the above.

I’d like to add on that he has used the ~1400eth to fund additional scams like the OXAI project. See below for originating transactions

4txs of over 300 eth each, sent to bitfinex. this eth was originally used to seed the MOCHI-ETH pool, using borrowed DAI from usdm curve pool



Thank you for your candid and thoughtful proposal. I agree with all of the above, as someone who has also been impacted as a small liquidity provider by this affair. I appreciate your recognition of past shortcomings and your commitment to doing better in the future.

Your insights into Azeem Ahmed’s actions and their consequences on the Curve protocol are accurate in my view. The way he managed the fees and the issues around the non-disbursement of rewards are alarming, and they highlight the critical need for ethical conduct and transparency in the DeFi space.

As members of this community who have experienced the negative effects of such actions, our collective push for more community-driven governance and vigilance is essential.


I agree with the proposal to take action against Azeem Ahmed. My research aligns with the concerns raised about his actions in the crypto space, including the slow rug of the USDM-Mochi Community. Azeem’s questionable management and performance fees, coupled with broken promises and rescinded offers, highlight a need for scrutiny. I’ve experienced losses due to false promises of investment payback. It’s crucial to self-regulate and remove such bad actors to protect the integrity of protocols and provide justice to victims.

The slow rug orchestrated by Azeem Ahmed forced our hands and resulted in significant losses to our investments. This underscores the urgency to address his actions and seek a fair resolution for those adversely affected by his deceptive practices.


Thank you for bringing this proposal to the attention of the Curve DAO. I am also a small liquidity provider who has been negatively impacted by this affair, and can confirm all the details first hand in the proposal.

Since investing in Mochi and the USDM Curve pool, Azeem has made numerous promises, to me and the community, to make initial investors and USDM liquidity providers whole. This saga has dragged on for far too long, always with excuses as to why now is not the right time to honor his word.
The longer the matter is delayed, the more CVX staking fees and air drops are accumulated by Azeem for his personal investment/pocket, so it is not in his interest to do the right thing.

This is an opportunity to see the curve community and Emergency DAO take decisive action, similar to how they protected the whale LPs initially to exit the USDM Curve pool, and look after the foundational members of their community.


Sorry for your loss!

I had contact with Azeem years ago, before the Mochi “scam”. It’s not the first one, he had a bad reputation before. Azeem is a crook, and some of the victimes developed some kind of stockholm syndrom.

At the mochi incident I open a line of commucation to him. (one guy lost 10M and asked for my advice)

I’m currently a contributor for curve, but not back then. I speak as a Curve DAO member/tokenholder in this, not for curve.

Now back to your proposal:

  • There is no way how the curve or convex protocol can access any of this funds. Both protocols are permissionless. We can’t kill pools, none.

  • Some action may be possible, but they are very limited. (If I remember right, than Azeem vlCVX somehow has been deny-listed for bribes in the old cvx locking pool)

  • Even if some action would be possible, on what base should the Curve DAO make decisions? Crime has to be prosecuted in real world. We can’t be judges.

  • I don’t understand why you think the Emergency DAO had helped whales to get out. The Emergency DAO did kill the gauge, which just made the pool not eligible for further CRV emissions. If whales got out in time, this is because they have access to better and faster information flows, the Emergency DAO has nothing to do with this.

  • After the rug pull. I strongly advised to press charges against Azeem, as I have been ask by affected whales. Not to has been mostly based on the outlook that this kind of cases take years to get prosecuted, maybe with success, but if Azeem would have the funds to reimburse is unclear.

I think now its too late: The momentum is lost and this is all even more complicated.

I don’t have better answers, sorry.

The only way: To convice Azeem to give this out of his hand. The disbursement could be done without him having access, decentralized. But without legal pressure I don’t see how he would agree with this.


I endorse and stand by the statement above.
The process has been slow, distressing, and immensely frustrating.
Repeated assurances of a resolution only led to continuous postponements until communication ceased entirely.


Thanks for your reply. We both agree he’s a bad actor and a crook. I disagree that it’s Stockholm Syndrome, it’s extending far too much trust, and being far too forgiving.

I think the guy who lost 10M will be posting a comment here at some point.

You say you can’t kill pools, but I see a long list of proposals to specifically kill a pool. Maybe I’m missing something.

Even if Curve or Convex can’t access any of these funds, there are actions that can be made, specifically to stop aiding, abetting, pandering, or cooperating in anyway with a known, and proven BAD ACTOR. This would include deny listed for bribes as you described, and possibly other means, which is exactly why I posted this proposal to group-think how to punish a bad actor, and how to make the USDM Mochi Victims whole. I also hope to clean up the Curve and Convex protocols.

You suggest that crime has to be prosecuted in the real world.
Why? Who says? At what cost? Compared to what?

Azeem Ahmed is not afraid of legal measures and has potentially established his “holding company” as an entity in Bahama, so he will surely delay and deceive to push the case out as long as possible. Also, even when we win, he could declare bankruptcy, and delay the payment of the settlement. Why shouldn’t we adjudicate here, in the largest court of public opinion, which provides public on-chain transactions to clearly demonstrate guilt and criminality. I sense Azeem Ahmed is more concerned by being black balled and denied access to top tier crypto defi protocols than he is of a civil or even criminal case. He’s more concerned about the loss of future opportunity than he is of the punishment of his past actions. He thinks he will continue to get away with it, and by your comments, it sounds as though he will continue to get away with it.

I understand that the CENTRALIZED actions of the EMERGENCY DAO, was the first time, and ONLY TIME thus far, that Curve has engaged in a CENTRALIZED ACTION, which did not require a quorum, nor a vote, nor weeks to pass to take action. You may try to trivialize this action, and minimize the benefit to the Whale Liquidity Providers, BUT killing the emissions IS WHAT KILLED THE POOL AND DEPEGGED USDM. The Whales could have exited the LP and left the CRV emissions active, but it was TETRANODE who publicly shamed Azeem and told him he would destroy the LP. And by turning off the LP emissions, there was little incentive to provide liquidity, and USDM lost peg. Whales could have exited, they could have removed their votes directing emissions to the LP, and the USDM Pool would have had to find a balance of emissions worth providing liquidity. But they didn’t. They followed TETRANODE’S very public, very direct, immediate centralized attack. This was and still is a bad look for Curve presenting as a DECENTRALIZED DEFI PROTOCOL. This proposal aims to clear this up.

There was a fellow who commented on the previous USDM proposal who clarified a binary choice:
If it was an Azeem Rug, then Emergency DAO should act.
If it was not an Azeem Rug, then Emergency DAO should not act.

This turned out to be a false dichotomy… There was a third option: A SLOW RUG.
And Azeem, and USDM bagholders might even question that IF a decentralized path where Whale LPs removed their liquidity, and voted against, or reduced Curve Gauge emissions to the USDM Pool, then what would have happened to the USDM Peg and Liquidity Pool? We don’t know. The Curve Emergency DAO did not take that path. This is why Curve bears some responsibility in this issue and hopefully will act to the best of their ability to right the wrongs.

Again thanks for your comments, I do hope we can generate solutions.


I suppose I won the title of “Biggest Loser” in the USDM pool. I put in $11M, which if I tried to withdraw would be worth about $150,000 after 80% slippage.

I got into the USDM pool because of the massive amount of CRV emissions voted to the pool, and most importantly because of the trust that I and others had in the Curve protocol. I thought that my money would be safe, and that my investment would generate a big stack of CRV rewards that I could lock into veCRV. Initially, this is what happened. Curve emissions were significant, and I had thought that USDM had a chance in the growing adoption of stablecoins.

Because of my work and travel schedule, I missed the initial drama, and wasn’t present for the Emergency DAO actions, nor other whales pulling liquidity. When I was able to check the USDM price was already below $0.70. I considered pulling my liquidity, yet there was significant slippage which was over 50%. I was stuck. I’m still stuck.

I didn’t move my liquidity to the “Peg Balancer Module” (PBM) because I didn’t, nor do I trust Azeem Ahmed. I understand that I may be missing out on gCRV rewards, but this action would make me susceptible to another rug by Azeem. I don’t trust him. I hope that I can trust Curve to do what is best. I hope Michael Egorov sees my reply, and has compassion for guys who trusted Curve. I am willing to work with Curve to pull my liquidity and do anything to help resolve this issue. Is there anything I could do with crvUSD and USDM in a recovery fund of sorts? I may be willing to provide more liquidity, contributing to Curve’s TVL, in an cooperative effort to clean up this mess. I think smart guys could figure this out. If we do, you can count on me to permanently lock $11M into veCRV. You would earn my lifelong trust.


What happened to Yangu’s post/reply?
Here’s the screenshot.

He posted it March 8th. This shows that Azeem Ahmed is not only MALICIOUS, but also INCOMPETENT. We’d love to read some replies from Curve Founders at this point. Give some guidance. What is possible?

Now another chance for Azeem to show he’s malevolent & incompetent. Here’s another airdrop!