Bitcoin whale and Do Kwon, CEO and founder of Terraform Labs, shared the details of a new Curve pool that includes major stablecoins from decentralized and decentralized platforms.
Bitcoin whale Do Kwon shared new moves from Terra
Terra sets a new standard for stablecoin liquidity. Do Kwon announced today, April 2, 2022, that his team will launch a new liquidity pool alongside DeFi majors Frax Finance and Redacted Cartel.
The architecture of the new mechanism, called 4pool, the two leading central stablecoins, Tether (USDT) and USD Coin (USDC) indexed to the US dollar are created by Terra USD (UST), the largest decentralized stablecoin, and Frax Finance (FRAX), the first fractional-algorithmic stablecoin in DeFi.
Bitcoin whale highlights that the ongoing launch will mark a pivotal milestone for the entire Web3 space in terms of sustainability and interoperability:
4pool balancing truly decentralized stablecoins with off-chain liquidity is an exciting new pioneer in all EVM Ballockchains where curve lives.
When the pool opens, the notorious ‘Curve Wars’ will end and Terra and Frax, the two biggest CVX owners, will collaborate with each other on liquidity logistics, according to experts.
Terra USD (UST) enters Ethereum DeFi ecosystem
Technical details and rationale at the start of the new design, posted by anonymous Terra researcher Ezaan on Terra’s Agora forum discussed in the article. Ezaan says the new pool will change the narrative in cross-chain compatibility for stablecoin LPs, as Fantom (FTM) will be tested simultaneously on Arbitrum and mainnet Ethereum.
Overall, this collaboration is set to strengthen the positions of Terra’s native stablecoin UST in Ethereum’s DeFi segment. As previously reported by Kriptokoin.com, yesterday, April 1, Bitcoin critic Peter Schiff proposed making the UST a ‘crypto gold standard’ by backing it with gold (XAU) reserves. Terra’s Do Kwon refused the offer. According to CoinMarketCap data, Terra (LUNA), which ranks 7th in terms of market capitalization, was trading at $ 113.90 at the time of writing, gaining 7.28% in the last 24 hours and 25.55% in a week.
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