USDC mayhem catalyzes recovery rally in Uniswap and Curve DAO

Circle’s stablecoin USDC’s depeg triggered massive uncertainty in the crypto ecosystem over the weekend. Traders rushed to decentralized exchanges Uniswap and Curve to exchange USDC for other digital assets. 

The massive spike in trade volume, contributed to rise in revenue of the exchanges and catalyzed a recovery rally in UNI and CRV prices. 

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USDC de-peg pushes Uniswap and Curve’s revenue and trade volume higher

Circle’s stablecoin USDC’s de-peg triggered uncertainty among crypto market participants. It resulted in several traders rushing to decentralized exchanges Uniswap and Curve to exchange the stablecoin for other assets. 

Traders exchanging USDC dominated nearly 55% of the trade on Uniswap’s DEX. The exchange’s trade volume hit $12 billion for the first time since its inception, based on data from Dune Analytics. 

Colin Wu, a Chinese reporter noted that Silicon Valley Bank’s bankruptcy and USDC transactions led to a substantial increase in lending and other protocol fees.

Uniswap DEX revenue

According to data from CryptoFees, trade fees on Uniswap exceeded $8.7 million, the highest level since May 12, 2022. For Curve’s DEX, revenue climbed above $950,000, highest point since the FTX collapse of 2022. 

UNI and CRV prices witness recovery rally 

Uniswap (UNI) and Curve (CRV) tokens yielded double-digit gains to holders since yesterday. The tumultuous events catalyzed a recovery in the prices of the DEX tokens. UNI price climbed nearly 10%, while CRV yielded 11.5% gains since March 12.