Conflux, the first blockchain that complies with China’s stringent regulations, has proposed using CNH (offshore Chinese Yuan) stablecoin alongside Uniswap v3. Additionally, eCFX, the Ethereum mainnet currency CFX that has bridged to the blockchain, has been proposed as the blockchain’s entry into the Curve Wars.
The Uniswap community benefits from more trading opportunities involving USD and CNHC pairs when Uniswap v3 is deployed on Conflux eSpace. Also, Binance’s recent announcement that it will facilitate the mainnet integration of CFX tokens from Conflux Network will benefit the proposal. To increase the network’s worth and utilisation, the project hopes to attract more initiatives, establish more liquidity pools to support the trading of CFX tokens, and boost liquidity.
Given the regulatory hurdles stablecoins built on the US dollar face, this breakthrough couldn’t have come at a better moment. As an added bonus, this rollout will substantially help non-USD projects, particularly those in Asia that may now settle in CNH without worrying about the effects of currency volatility.
Conflux to onboard Curve Finance and its implications
The Conflux team intends to natively implement Curve Finance once the platform has reached a critical mass, so bringing the efficient stablecoin AMM-giant to Asia’s very own DeFi-centric blockchain. Conflux has chosen to engage in a complex Defi ecosystem simultaneously in an effort to garner the interest of ETH DeFi participants.
The $eCFX token that crosses the Ethereum blockchain and is issued by Conflux provides a liquidity pair with ETH on Curve. The Curve pool (eCFX-ETH) has been accepted and added to the Curve Gauge after an on-chain vote by the Curve DAO. Additionally, the pool can now be staked on Conflux, allowing DeFi users even greater access to the broader Curve ecosystem.
Although Curve has been integrated into other networks earlier, none of them had a pool dedicated to Curve (Ethereum) before adopting it. Therefore, Conflux’s decision to do so indicates that the company is making preparations for the future launch of Curve on Conflux eSpace by reaching out to the Curve community on Ethereum and providing a new Curve pool for Asian DeFi projects.
The importance of the Chinese market is further emphasised by the fact that it lies at the crossroads of US and EU regulatory hurdles on blockchain and newly favourable regulations on blockchain in Hong Kong. China has received more than 84 percent of all blockchain applications worldwide, far more than the United Kingdom (11%) or the United States (14%).