Delphi Digital: Curve founder's position in Frax poses greater risk to CRV due to variable rates

Odaily Planet Daily News Delphi Digital tweeted that Curve founder Michael Egorov’s 15.8 million FRAX debt in Frax Finance was collateralized by 59 million CRV. Although this is much smaller than his position on Aave, due to Fraxlend Time-weighted variable rate, which brings greater risk to CRV. At the current 100% utilization rate, the rate will double every 12 hours, Delphi Digital said. The current rate is 81.20% and is expected to increase to a maximum of nearly 10,000% APY in just 3.5 days. Regardless of the CRV price, this ultra-high rate may eventually lead to Egorov being liquidated eventually.