The post Curve Finance Proposal Aims to Eliminate TrueUSD from crvUSD Collateral Due to Regulatory Concerns appeared on BitcoinEthereumNews.com.

COINOTAG news, on September 27, according to Financefeeds, a groundbreaking proposal from Curve Finance has suggested the removal of TrueUSD (TUSD) from the list of acceptable collateral tokens for its stablecoin Curve USD (crvUSD). Additionally, the proposal aims to slash the crvUSD minting threshold using PayPal’s stablecoin PYUSD from $15 million to $5 million. Submitted by a user named “WormholeOracle,” the proposal argues that TUSD’s history of regulatory scrutiny and transparency issues renders it a high-risk asset for supporting crvUSD. The proposal highlights TUSD’s entanglement in legal troubles, including allegations from the U.S. Securities and Exchange Commission (SEC) implicating TUSD in investor fraud. According to WormholeOracle, “crvUSD is overly exposed to small stablecoins, particularly TUSD, which carries a contentious history.” Their recommendation is to completely eliminate crvUSD’s reliance on TUSD, stressing the importance of diversifying the collateral backing crvUSD to maintain its stability. Source: https://en.coinotag.com/breakingnews/curve-finance-proposal-aims-to-eliminate-trueusd-from-crvusd-collateral-due-to-regulatory-concerns/

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Filed under: News - @ September 26, 2024 7:15 pm