Curve CEO dispels misinformation on UwU Lend hack and CRV burn

Michael Egorov, the mastermind behind Curve Finance (CRV), has shared his insights on the recent UwU Lend hack, emphasizing that the breach did not target Curve Finance itself.
During a Q&A session with Cointelegraph, Egorov made it clear that “this incident was not a result of a flaw in Curve. It was an exploit of a different project [UwU Lend].” He elaborated on steps to prevent similar exploits in the future, suggesting that UwU Lend should “re-audit all contracts and engage reputable security auditors” in hopes of recovering the losses.
Initially, there were reports that Egorov proposed burning 10% of CRV tokens, amounting to $37 million, to stabilize the token’s value and enhance the annual percentage yield for voters.
However, in a subsequent Q&A, Egorov clarified the misinformation surrounding the burning of CRV tokens, addressing the false claim that the team had planned such a move.
Moreover, Egorov revealed on June 15 that he had fully settled the $10 million bad debt stemming from soft liquidations triggered by the UwU exploit.
When asked about how Curve Finance intends to manage liquidation risks in volatile markets, Egorov shared his strategy with Cointelegraph. Additionally, he discussed the topic of onchain arbitrage.
Looking ahead, Egorov proposed the development of “open-source liquidation bots” and emphasized the importance of educating the community about liquidations to address the broader implications on decentralized finance.
In other news, Elon Musk vows to ban Apple, Greenpeace advocates for Bitcoin’s Proof of Stake, and more in this week’s edition of Hodler’s Digest from June 9-15.