Michael Egorov, founder of Curve Finance, has deposited 291 million CRV tokens, worth $24 million, to decentralized lending platform Aave in order to protect a $65 million stablecoin loan. According to blockchain sleuth LookOnChain, Egorov had previously sent $37 million worth of Tether (USDT) to crypto exchange Bitfinex and $51 million in USDC to market maker Wintermute.
Debank reports that Egorov’s wallet has provided a total of $188 million in collateral on Aave, with $64.2 million in USDT being borrowed in an open position. The open position currently has a health rate of 1.68, and will be automatically liquidated if it drops below 1.00.
CRV tokens are currently trading at $0.65, down 2.1% in the past 24 hours, following a sudden 17% drop on Saturday. If the price of CRV continues to decline, the value of collateral and health rate will also suffer. CRV is 90% lower than its all-time high of $6.50 in 2022.
In January, Aave cleared bad debt positions that occurred after the Mango Markets exploit, worth 2.7 million CRV.