Curve Finance is a decentralized exchange optimized for low slippage swaps between stablecoins or similar assets that peg to the same value (e.g. wBTC/renBTC). The protocol utilizes an Automated Market Maker specifically designed to provide DeFi users with low slippage and liquidity providers with steady fee revenue.

The Curve protocol was developed to enhance stablecoin liquidity and offer more stable interest returns without the need to hold highly volatile assets. Since its inception, Curve has become a leading decentralized exchange (DEX) in terms of trading volume, providing traders with ample liquidity at low fees and slippage. Currently, Curve offers over 33 different liquidity pools that generate varying returns based on the asset weights and performance within each pool.

Curve Finance originated from Michael Egorov's StableSwap Whitepaper, which was published in November 2019. This whitepaper laid the foundation for the Curve Finance protocol, which was launched two months later in January 2020.

A crucial component of Curve's infrastructure is the CurveDAO. The CurveDAO is an Aragon-based Decentralized Autonomous Organization that governs Curve Finance. Voting power within the DAO is determined by both the number of votes and the time of the vote, with earlier time-locked votes carrying more weight. The DAO is governed by CRV, Curve's native governance token, which was introduced in August 2020. The launch of the CRV token resulted in a surge in trading volume and helped Curve surpass $1 billion in Total Value Locked (TVL) for the first time.

Curve's primary objective is to assist liquidity providers in maximizing their returns while minimizing trader fees, reducing price slippage, mitigating risk, and ensuring ample liquidity. This is achieved through innovative technology and partnerships with other popular DeFi applications such as Compound and Yearn Finance.

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