Curve founder raises $5M for Yield Basis to tackle impermanent loss

Curve Finance founder Michael Egorov has raised $5 million at a $50 million valuation for Yield Basis, a project aimed at reducing impermanent loss for liquidity providers. The platform will use leveraged liquidity and Curve’s crvUSD stablecoin to enhance yields for tokenized Bitcoin and Ethereum holders. The YB token allocation includes 30% for community incentives and 10% for Curve tech licensing, potentially benefiting crvUSD pools. According to The Block, Yield Basis is currently in test-in-production, with audits underway before launch. Egorov notes the model is best suited for BTC and ETH, rather than volatile assets.