24. February 2024

• A new tool called Conic Finance was recently launched, allowing users to deposit tokens into its omnipools and earn up to 21% annualized yields on three major stablecoins.
• Over $60 million has been deposited in the first week since launch, with the USDC pool alone attracting over $50 million liquidity.
• CNC tokens are rewarded for staking of LP tokens and can be used in Liquidity Allocation Votes (LAVs) to control how liquidity is allocated across Curve pools.

Introduction

Conic Finance is a new tool that enables users to capture yield rewards from the popular DeFi protocol Curve by depositing their tokens into omnipools and receive up to 21% annualized returns on major stablecoins such as USD Coin (USDC), DAI and FRAX.

Overwhelming Response

Since its launch on March 1st, Conic Finance has attracted over $60 million in deposits within just one week. Particularly, USDC has become the most favored token among depositors with over $50 million worth of liquidity added so far. Deposits for DAI and FRAX have been considerably lower at $5 million and $7 million respectively.

Rewards & Governance

As an incentive for staking LP tokens, holders can receive CNC tokens as rewards which can also be used in Liquidity Allocation Votes (LAVs). This allows them to directly control how liquidity is allocated across different Curve pools. Additionally, Convex (CNX), another Curve ecosystem token is also rewarded alongside CNC tokens.

Value Creation Potential

The demand for these yield-generating products could generate value for the native CNC token as it currently trades at around $8 per token.

Conclusion

Conic Finance offers users a great opportunity to earn high APY yields from leading DeFi protocols while using their tokens’ governance capabilities to influence how liquidity is allocated across different Curve pools.