Curve DAO Funds yRisk as Risk Provider for crvUSD and Llamalend

On September 2, Curve DAO approved a proposal to fund yRisk as the new risk provider for its stablecoin crvUSD and the lending platform Llamalend. The vote concluded a selection process that began in July, replacing LlamaRisk, which had been in the role for 10 months under a one-year renewal. yRisk is operated by two individuals who are also the primary developers of Resupply, a project that experienced a $9.6 million exploit in June 2025. This fact was not disclosed in the proposal or during the voting process.

The funding was backed by 536.9 million votes from veCRV holders, with no votes against the proposal. On September 2, the DAO allocated 125,000 frxUSD and 568,181 CRV to support yRisk's role as the risk provider. The decision underscores Curve's ongoing efforts to manage risk effectively within its ecosystem and adapt to evolving security considerations.

The transition from LlamaRisk to yRisk reflects the DAO's governance process and its focus on selecting trusted risk management partners. The absence of disclosure regarding yRisk's past security incident raises questions about transparency, but the community's overwhelming support suggests confidence in the new provider's capabilities.

This development is part of broader DeFi governance activities, where community votes determine strategic partnerships and risk management practices. As the ecosystem continues to evolve, such decisions are critical for maintaining stability and trust among users and stakeholders.