Justin Sun buys $2.9 million worth of CRV tokens

The wallet belonging to Tron co-founder Justin Sun moved 2 million USDT out of the Aave network and sent them to the head of the DeFi protocol Curve Finance, Mikhail Yegorov, in exchange for 5 million CRV (~$2.9 million at the time of writing).

PeckShield analysts noted that the purchase was executed at a price below the market — $0.40 per token.

Meanwhile, Sun announced a partnership between Tron and Curve. Under the agreement, the projects will integrate a liquidity pool for stUSDT.

“Delighted to help Curve! As longtime partners we continue to strive to provide support when needed. Our joint efforts will enable the introduction of the stUSDT pool on Curve, increasing benefits for users. Together we aim to expand the capabilities of the community and create decentralised finance,” he wrote.

Lookonchain experts also recorded that Egorov sold 4.25 million CRV to crypto trader DCFGod. In addition, he sent 3.75 million CRV to NFT collector with the nickname Machi Big Brother, 2.5 million CRV to the project DWF Labs and another 2.5 million CRV to the Cream.Finance protocol.

Researchers calculated that the Curve CEO has sold a total of 39.25 million CRV for 15.8 million USDT.

CRV trades took place amid heightened volatility. In the night of August 1, the asset tested a record low since November 2022, plunging to $0.48. By the time of writing the token had recovered to around $0.60.

Likely, the drop in quotes is linked to an attack on Curve Finance’s liquidity pools. On July 30, a hacker withdrew about $47 million from the protocol, exploiting a vulnerability in the Vyper code.

According to Coinalyze, open interest in CRV-based futures rose to $131 million. Traders may be opening short positions in anticipation of further price declines.

In May, it was revealed that the Curve CEO and his wife purchased two villas in Melbourne for around $40 million.

Against this backdrop, within the DeFi-platform community of Aave concerns arose regarding a large debt position of the entrepreneur collateralised by CRV.

However, users unanimously rejected the proposal to lock the collateral.