- Convex Finance surpasses one billion dollars in TVL.
- Convex is intended to serve as an optimizer for the Curve protocol.
- Observers say that Yearn and Convex compete with each other.
Convex Finance has risen to $1.14 billion and entered the top 20 by size. According to DeFiLlama, this Ethereum-based finance has surpassed one million dollars in TVL yesterday.
Convex Finance surges in the Total value locked (TVL) leaderboard. The Convex team-lead command and control technology platform (c2tp) shares that they are overwhelmed with the support received from users.
Additionally, they express their gratitude to the supporters for spreading the vision which has been the major contribution. Besides, convex is structured to optimize Curve protocol that allows for the exchange of similar assets, such as stablecoins or Ether (ETH) and Lido’s-staked ETH.
The native coin of Convex is CRV, which has a feature “time-lock”, where users can stake CRV using this feature for four years in exchange for voting escrow CRV (veCRV) via this users can boost rewards.
Moreover, some controversy among the observers has come into view, saying that Convex enters the arena competing Yearn Finance. Besides, the entities clarify that it is not true.
So @ConvexFinance entered the arena to compete with @iearnfinance and @StakeDAOHQ, fighting to perpetually lock your $CRV into #veCRV
— SEM (@0xSEM) May 18, 2021
They do by providing huge farming incentives ( $SUSHI, $CVX, $SDT )
This fight only has one big winner: pic.twitter.com/Fl8bG6bd80
However, c2tp clarifies this issue, with a clear comment stating that Yearn and Convex compliment each other and don’t compete with each other. They added:
“We don’t consider it to be direct competition. There are various platforms, each with its own set of objectives. There is also a lot to gain when platforms work together as part of the larger DeFi system. We encourage everyone to use what we have to offer and to build on top of it. DeFi is not a winner-take-all game, but rather something that grows stronger as all of the pieces fit together.”
As like that, the Yearn representative has also opposed the statement from some observers. Also they added that Yearn is responsible for a large portion of Convex’s TVL.
Convex’s success is represented by a member of Yearn’s growth team, Weaver. Although some crypto observers spend their energy in creating commotion between entities, the firm is clear about that. Besides, Yearn thanks Convex, as their veCRV boosts Yearn vaults. This concludes that both entities are not competing with each other.
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