Curve Proposes to Halt Elixir Market Gauges Post Elixir Shutdown
The post Curve Proposes to Halt Elixir Market Gauges Post Elixir Shutdown appeared on BitcoinEthereumNews.com.
Key Points: Curve proposes disabling Elixir gauges following Stream Finance collapse. Elixir ended deUSD activity; impacted Curve pools. Market reactions include losses and withdrawal halts. On November 8, 2025, Curve community member LlamaRisk proposed to disable all Elixir Market Gauges following Stream Finance’s collapse and Elixir’s token shutdown. This proposal aims to prevent CRV emissions and addresses the impact of deUSD and sdeUSD’s devaluation, highlighting serious counterparty risks in DeFi markets. Curve’s Response to Stream Finance’s $68 Million Debt Stream Finance’s collapse led to a $68 million debt to Elixir, prompting them to halt minting deUSD. LlamaRisk proposed to disable Curve’s Elixir-related market gauges, aiming to prevent further CRV emissions to inactive pools and mitigate potential financial repercussions. The Curve community actively considered the proposal. Immediate changes include disabling CRV emissions across all Elixir pools, affecting liquidity and user incentives. This move aims to safeguard Curve’s ecosystem from inefficiencies related to deactivated Elixir tokens. Market responses highlighted severe impacts. Many users experienced liquidity issues as deUSD lost value rapidly. Financial analysts compared this event to past DeFi failures, underscoring systemic vulnerabilities in synthetic stablecoin models. Curve’s proactive measures received mixed reactions from stakeholders. LlamaRisk, Community Member, Curve – “The situation with Elixir highlights the importance of counterparty risk in DeFi; we must take immediate steps to disable incentives for all affected pools.” Elixir’s deUSD Price Plunges Amidst Synthetic Stablecoin Crisis Did you know? The swift collapse of Elixir’s deUSD follows historical patterns of synthetic asset failures. Similar incidents, like the Terra/UST collapse, triggered widespread DeFi ecosystem disruptions, reinforcing doubts about synthetic stability. Elixir deUSD [DEUSD] reports a significant decline, with its price at $0.08 and a market cap of approximately $7.29 million, showing a 36.11% drop over the past 24 hours as per CoinMarketCap data. Trading volumes plummeted by over…
Filed under: News - @ November 8, 2025 7:23 pm