Convex Finance (CVX)
A Yield Optimizer Built on Top of Curve Finance.- Convex Finance’s main utility is to increase user earnings by optimizing the gauge voting (boost) at Curve Finance for CRV distribution without requiring users to operate/decide on Curve Finance.
- CVX is the native token of the project. The current use cases for CVX include:
- Staking: Users can stake CVX tokens in the Convex Finance platform to receive a share of platform fees.
- Liquidity Mining: Users can contribute CVX to liquidity pools outside of Convex Finance to earn liquidity mining rewards and a share of the DEX transaction fees (e.g. Sushiswap).
- Voting: Users can lock CVX tokens in the Convex Finance platform to vote on the CRV emissions for Curve Finance gauges.
- The project consists of the following major components working in conjunction:
- Vote-escrowed CRV: Convex Finance locks all CRV deposited in the platform into Curve Finance and depositors receive cvxCRV, a tokenized version of veCRV.
- Boosting: Utilizing the CRV deposited on its platform, Convex Finance boosts CRV emissions on all liquidity pools for Curve Finance liquidity pool stakers.
- As at December 23rd 2021, the maximum and total token supply of CVX are 100,000,000 and 79,070,643 respectively. The current circulating supply is 42,703,004 (~42.70% of the maximum token supply).
- Learn more about the token distribution of CVX here.