Stablecoin exchange protocol Curve Finance’s founder, Michael Egorov, is set to unlock nearly 160 million CRV tokens on February 1st. And the first whale to start selling is none other than Taiwan’s well-known artist, Maji Big Brother!
Last July, Curve Finance, the largest stablecoin exchange protocol, suffered a hack due to a vulnerability in a specific version of the Ethereum programming language, Vyper. This attack affected four of its liquidity pools, implicated several DeFi protocols, and caused a drop in the price of CRV tokens.
At that time, Michael Egorov, the founder of Curve, used a large amount of CRV as collateral to borrow from various lending platforms, putting him at risk of liquidation. Consequently, in August of last year, he sold nearly 160 million CRV tokens over the counter (OTC) at a price of $0.4 per token to institutions and individuals, including Binance Labs, Wintermute, Justin Sun, and Maji Big Brother, among others, in exchange for $63.76 million to repay his debts.
According to blockchain analyst, Yu Yin, the 160 million CRV tokens previously sold by Michael Egorov in an OTC transaction will end their six-month lock-up period today (1st). Therefore, the flow of these unlocked CRV tokens has become a focal point in the market.
Maji Big Brother took the lead in selling, receiving £250,000
According to analyst Yu Yin’s tracking, within 15 minutes of the end of the lock-up period, Maji Big Brother immediately began selling CRV tokens. According to data tracking, Maji Big Brother redeemed the 3.75 million CRV tokens (worth $1.75 million) he purchased from Michael Egorov through OTC and immediately transferred them to the cryptocurrency exchange Binance. It is understood that Maji Big Brother spent $1.5 million USDT to buy CRV tokens at a price of $0.4 per token in August of last year. After selling, he will realize a profit of approximately $250,000 (+16%).
Following Maji Big Brother, the second CRV buyer to conduct an OTC transaction is the OpenSea user “erwwer.” This user transferred the 2.5 million CRV tokens (worth $1.14 million) purchased from Curve founder Michael Egorov to the cryptocurrency trading platform Binance. It is understood that erwwer is expected to make a profit of approximately $140,000 (+14%) from this sale.
CRV token dropped 7% in 24 hours
According to CoinGecko data, the CRV token was trading at $0.4469 at the time of writing, marking a 7% decrease in the past 24 hours. Based on the current market price, investors who previously purchased CRV tokens from Michael Egorov through OTC transactions have gained over 11.25% in profits. However, we cannot determine if these whales have privately agreed on the order of their exits based on their capital capacity. All we know is that news of whale selling in the future will continue to occur.
CRV token price
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