Protocols & Platforms
PegKeeper
Curve crvUSD PegKeeper
Curve module adjusting crvUSD pool liquidity to support its peg
Definition
A Curve crvUSD PegKeeper deposits crvUSD into, or withdraws it from, a paired stablecoin pool to help stabilize the peg. Its LP position backs its accounted debt; it is a bounded liquidity operation, not an unlimited promise to redeem crvUSD for dollars.
Example
A PegKeeperV2 pool has 1,100,000 units of the paired dollar coin and 1,000,000 crvUSD. With all checks satisfied and enough allowance, update can supply (1,100,000 - 1,000,000)/5 = 20,000 crvUSD, not the whole imbalance.
How it works
When crvUSD is scarce in the pool, the Keeper supplies it and increases accounted debt. When abundant, it withdraws crvUSD and reduces debt; V2 uses a regulator to gate actions and requires the update to improve its measured profit.
Risks to Consider
- The paired stablecoin can depeg or become frozen
- Debt limits and action delays bound stabilization capacity
- Pool and regulator price checks can fail or block intervention
Common Questions
Is a PegKeeper a PSM?
No. A PSM exchanges at a configured reference rate. A PegKeeper changes AMM liquidity subject to pool conditions, limits and profitable execution.
