---

Weekly trading volume on Curve fell to $779 million, down 32% from $1.14 billion in Week 10. Protocol fees dropped 25.2% to $200,000. Total value locked (TVL, the total assets deposited in the protocol) declined a more modest 2.1%, settling at $2.03 billion. The divergence between the volume decline and the TVL decline suggests that liquidity providers are staying in their positions even as active trading has slowed.

The most significant development for yield-seekers this week was a steep drop in the scrvUSD savings rate. Savings crvUSD (scrvUSD) is a yield-bearing wrapper for Curve's native stablecoin, crvUSD, where deposited funds earn a share of the interest paid by crvUSD borrowers, with the exact proportion set dynamically by the Curve DAO at between 5% and 50% depending on how much circulating crvUSD is staked. Deposited crvUSD is not rehypothecated; it sits idle in the vault, which limits counterparty risk for depositors.

The rate fell from 8.7% last week to 5.0% this week, a decline of 3.7 percentage points. The drop reflects a quieter week across the protocol: fewer active loans, a 13-unit decrease in Llamalend borrower count, and the complete depletion of peg stability reserves. Those reserves had stood at $6.42 million in Week 10, deployed actively to defend the crvUSD peg, and now sit at $0.

The average borrow rate on crvUSD rose slightly to 12.6%, up 1.5 percentage points week-over-week. In the Week 11 report, Curve contributor Saint Rat noted that "crvUSD held close to peg at $0.9995, and scrvUSD continued to offer 5.0%."

The stablecoin's circulating supply sits at $22.6 million, with its price at $0.9994, effectively at its one-dollar target.

The headline governance item this week is a proposal to add a GHO/crvUSD PegKeeper with a 3 million crvUSD initial debt ceiling. PegKeepers are automated contracts that help maintain crvUSD's dollar peg by minting crvUSD into, or burning crvUSD from, specific liquidity pools.

GHO is the native overcollateralized stablecoin issued by the Aave lending protocol. If approved, the integration would add GHO as a new counterparty for the peg mechanism, reducing Curve's reliance on its existing pool set of USDC, USDT, pyUSD, and TUSD. According to the governance forum thread for the proposal, the goal is to diversify PegKeeper counterparties while keeping initial exposure conservative. The choice of GHO also carries strategic significance: Aave's V4 roadmap introduces stkGHO, a yield-bearing variant offering approximately 8.4% APY through Aave's Umbrella module, making GHO a more yield-generating counterparty than the protocol's existing stablecoin options.

Saint Rat called it "the main news of the week" in the protocol's weekly report.

Curve's lending arm, Llamalend, showed mixed signals this week. TVL fell 4.4% to $113 million, and the number of active loans declined by 13 to 928. However, the total amount borrowed rose 2.6% to $51.8 million, suggesting some borrowers are taking on larger individual positions even as the pool of participants contracts.

Llamalend is still recovering from an oracle exploit affecting the sDOLA lending market in early March that triggered forced liquidations and reduced overall balances. Separately, Curve founder Michael Egorov has put forward a proposal to allocate 17.45 million CRV tokens to fund Swiss Stake AG's development of Llamalend v2, with the stated aim of addressing the security gaps exposed by that incident.

On the liquidity mining side, CRV token emissions continued at roughly 2.22 million CRV per week (approximately $538,000 at current prices), representing an annual inflation rate of 4.898%. Weekly distributions to veCRV holders (users who have locked CRV for governance rights and fee sharing) fell 28.4% to $79,100. CRV circulating supply stands at 1.49 billion, with 857 million locked and 785 million in veCRV form.

Top pool yields this week (unboosted):

• frxUSD/USDp on Avalanche: 31.4%
• ebUSD/USDC on Ethereum: 30.5%
• xpUSD/sUSDS on Ethereum: 28.4%

The Avalanche pool's top position is worth noting for users in South Asia and Africa, where Ethereum's gas costs have historically been a barrier to DeFi participation. Avalanche offers sub-second transaction finality and lower fees, making pools on that network more accessible to cost-sensitive users. The frxUSD stablecoin in that pool is fully fiat-redeemable, backed 1:1 by cash-equivalent reserves including exposure to BlackRock's BUIDL tokenized fund, managed via Securitize. Frax has also seen approximately $50 million in institutional inflows recently, adding further weight to the stablecoin's institutional backing.

Even the week's lower scrvUSD rate of 5.0% exceeds the inflation-adjusted deposit rates available at most retail banks in Pakistan, Bangladesh, Nigeria, Ghana, and Kenya. Pakistan alone now counts an estimated 18.2 million crypto users. Bangladesh has 3.1 million stablecoin-verified users, and Tanzania's DeFi wallet count grew 6.8 times over the past year, rising from approximately 120,000 to 820,000 wallets, illustrating the scale of adoption momentum across the region.

With international remittance fees still averaging above 6.6% per transfer, dollar-denominated DeFi yields offer a meaningful offset for diaspora communities sending money home, provided recipients have the tools to access them.

That caveat carries real weight. The sDOLA exploit in Week 10 is a recent example of how quickly smart contract vulnerabilities can trigger forced liquidations and significantly reduce deposited balances. All pools on Curve are permissionless, meaning there is no regulatory backstop or deposit insurance. As a general principle in DeFi, high APYs on smaller stablecoins like ebUSD tend to reflect the additional risk those pools carry. ebUSD's circulating supply stands at approximately 393,000 tokens, and narrower liquidity depth is typically associated with elevated counterparty and exit risk.

Looking ahead, the GHO PegKeeper vote is the clearest near-term signal to watch. A successful outcome would mark a deepening of the institutional relationship between Curve and Aave, two of DeFi's most widely used stablecoin protocols, and could have downstream effects on crvUSD peg stability and scrvUSD yield dynamics.

The Llamalend v2 grant proposal and the ongoing recovery of lending volumes will also be worth tracking as the protocol works through the aftermath of last week's exploit.