A new governance proposal within CurveDAO is stirring debate over the future of Curve Finance’s multi-chain strategy.
Active member Phil_00Llama has called for halting any further deployments to Ethereum Layer 2 (L2) networks, arguing that the returns don’t justify the development costs.
In a post to the CurveDAO forum, he claimed that L2 expansions consume significant developer resources while delivering minimal revenue compared to Ethereum’s mainnet. Curve currently operates on about 25 chains, from Arbitrum and Base to Polygon and Avalanche, yet DeFiLlama data shows nearly all of its $2.3 billion total value locked (TVL) sits on Ethereum Layer 1. By contrast, Arbitrum and Base combined hold only around $50 million.
Revenue figures paint an even starker picture. According to Phil_00Llama, mainnet pools can earn 450 times more than all L2 pools combined—even on low-volume days. He believes resources would be better spent scaling Curve’s Ethereum-based stablecoin, scrvUSD, rather than maintaining less profitable deployments.
Another DAO participant echoed the sentiment, noting that L2 platforms generate just $1,500 daily revenue despite high upkeep and rapidly changing network landscapes. The view is that focusing on Ethereum’s core infrastructure could deliver greater long-term value than chasing activity on multiple sidechains.
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Alexander Zdravkov
Reporter at Coindoo
Alexander Zdravkov is a person who always looks for the logic behind things. He is fluent in German and has more than 3 years of experience in the crypto space, where he skillfully identifies new trends in the world of digital currencies. Whether providing in-depth analysis or daily reports on all topics, his deep understanding and enthusiasm for what he does make him a valuable member of the team.
Source: https://coindoo.com/curvedao-proposal-calls-for-ending-new-layer-2-deployments/